Method, system, and computer program for predicting tax liabilities associated with reportable income on a 1099 form

A system for predicting an impact of income reported on a 1099 form on a user's tax liability, the system comprising:

• a deduction data store having stored thereon information indicative of a plurality of tax deductions and a plurality of credits;
• a non-transitory computer readable storage medium with a computer program stored thereon, for predicting an impact of income reported on a 1099 form on a user's tax liability, with the computer program performing the steps of:
• acquiring known user information related to the user and the user's taxes,
• wherein the known user information includes at least some information for a current tax year to date;
• predicting at least some user information related to the user and the user's taxes for a remainder of the current tax year based at least partially on the known user information,
• wherein the step of predicting at least some user information is performed at an intermediate time in the current tax year and prior to termination of the current tax year, such that the predicted user information is for said remainder of the current tax year;
• acquiring, in said intermediate time in the current tax year, reportable income on a 1099 form to date in the current tax year (“1099 reportable income to date”);
• comparing, in said intermediate time in the current tax year, the known user information, the predicted user information, and the 1099 reportable income to date with requirements for at least one of tax deductions and tax credits offered by a taxing authority;
• accessing the deduction data store to identify deductions or credits having requirements related to the known user information, the predicted user information, and the 1099 reportable income to date and identifying, in said intermediate time in the current tax year, said deductions or credits;
• predicting, in said intermediate time in the current tax year, the impact of the 1099 reportable income to date on the user's tax liability based on the known user information, the predicted user information, and the 1099 reportable income to date, and the requirements for at least one of tax deductions and tax credits for the current tax year;
• and
• predicting, in said intermediate time in the current tax year, an accuracy probability that the taxpayer will qualify for the deductions or credits based at least partially on a set of accuracy probability information,
• wherein the set of accuracy probability information is indicative of at least one of a type of deduction or credit, known tax information related to the taxpayer for one or more prior tax years, previous deductions and credits taken by the taxpayer, a particular time of a tax period when the 1099 reportable income is received or paid, and a 1099 reportable income for one or more prior tax years;
• and
• a user device communicatively linked to said computer readable medium, having a computer program thereon for receiving information from and presenting information to the user, wherein the computer program performs the steps of:
• receiving the known user information related to the user and the user's taxes;
• presenting to the user, via a user interface, the impact and the accuracy probability for the impact of the deductions and credits on the user's tax liability;
• and
• presenting to the user, via the user interface, a recommendation to perform an action affecting the end of year 1099 reportable income to reduce the user's tax liability.

A non-transitory computer readable storage medium with a computer program stored thereon, for projecting an end of year 1099 form reportable income for a user, with the computer program performing the steps of:

• providing to the user a set of computer-executable instructions that when executed by a user's user device, generate a user interface displayable on an electronic display coupled to the user's user device;
• acquiring, from a 1099 income information source, reportable income information on a 1099 form to date in a current tax year (“1099 reportable income to date”);
• projecting an end of year 1099 form reportable income for the current tax year based at least partially on the 1099 reportable income to date and 1099 projection information,
• wherein the step of projecting an end of year 1099 form reportable income is performed at an intermediate time in the current tax year and prior to the termination of the current tax year, such that the projected end of year 1099 form reportable income is for a remainder of the current tax year;
• presenting to the user, via the user interface, the projected end of year 1099 reportable income for the current tax year;
• predicting, in said intermediate time in the current tax year, an accuracy probability for the projected end of year 1099 reportable income based at least partially on 1099 accuracy probability information,
• wherein the 1099 accuracy probability information is indicative of at least one of a type of 1099 reportable income, a frequency of receipt or payment of the 1099 reportable income, a particular time of a tax period when the 1099 reportable income is received or paid, and a 1099 reportable income for one or more prior tax years;
• presenting to the user, via the user interface, the impact and the accuracy probability for the projected end of year 1099 reportable income;
• and
• presenting to the user, via the user interface, a recommendation to perform an action affecting the end of year 1099 reportable income to reduce the user's tax liability.