New things taxpayers should consider as they get ready to file taxes in 2021 https://www.irs.gov/newsroom/new-things-taxpayers-should-consider-as-they-get-ready-to-file-taxes-in-2021 https://accountinginstruction.info/ COVID Tax Tip 2020-172, December 16, 2020 When people get ready to file their federal tax return there are new things to consider when it comes to which credits to claim and what deductions to take. These things can affect the size of any refund the taxpayer may receive. Here are some new key things people should consider when filing their 2020 tax return. Recovery rebate credit Taxpayers may be able to claim the recovery rebate credit if they met the eligibility requirements in 2020 and one of the following applies to them: They didn't receive an Economic Impact Payment in 2020. They are single and their payment was less than $1,200. They are married, filed jointly for 2018 or 2019 and their payment was less than $2,400. They didn't receive $500 for each qualifying child. Refund interest payment People who received a federal tax refund in 2020 may have been paid interest. The IRS sent interest payments to individual taxpayers who timely filed their 2019 federal income tax returns and received refunds. Most interest payments were received separately from tax refunds. Interest payments are taxable and must be reported on 2020 federal income tax returns. In January 2021, the IRS will send a Form 1099-INT, Interest Income, to anyone who received interest of at least $10. New charitable deduction allowance New this year, taxpayers who don't itemize deductions can take a charitable deduction of up to $300 for cash contributions made in 2020 to qualifying organizations. For more information, people should review Publication 526, Charitable Contributions. Other refund-related reminders Taxpayers shouldn't rely on receiving a refund by a certain date, especially when making major purchases or paying bills. Some tax returns may require additional review and processing may take longer. Refunds for taxpayers claiming the earned income tax credit or additional child tax credit can't be issued before mid-February. This applies to the entire refund, not just the portion associated with this credit. The fastest and most secure way to receive a refund is to combine direct deposit with electronic filing, including the IRS Free File program. Taxpayers can track the status of their refund using the Where's My Refund? tool. ... https://www.youtube.com/watch?v=HqnmTIyLLPg

IRS kicks off 2023 tax filing season with returns due April 18 https://www.irs.gov/newsroom/irs-kicks-off-2023-tax-filing-season-with-returns-due-april-18 https://accountinginstruction.info/ The Internal Revenue Service kicked off the 2023 tax filing season with a focus on improving service and a reminder to taxpayers to file electronically with direct deposit to speed refunds and avoid delays. Following a successful opening of its systems today, the IRS is now accepting and processing 2022 tax returns. Most of the individual tax returns for the 2022 tax year are expected to be filed before the April 18 tax deadline. Taxpayers have until April 18 to file their taxes this year, but some taxpayers living overseas and disaster victims may have later filing deadlines. Alabama, California and Georgia storm victims now have until May 15 to file various federal individual and business tax returns and make tax payments. "Following months of hard work, we successfully opened our processing systems today to start this year's tax season," said IRS Acting Commissioner Doug O'Donnell. "Getting to this point is a monumental effort not only for the IRS but also for the nation's tax community. The hard-working employees of the IRS look forward to serving taxpayers this filing season, and I personally want to thank them, and all of the tax and payroll community for their dedication to making tax time smoother for the nation." O'Donnell also noted that taxpayers can count on IRS delivering improved service this filing season. As part of the August passage of the Inflation Reduction Act, the IRS has more than 5,000 new telephone assistors and added more in-person staff to help taxpayers. "We continue to increase IRS staffing to help provide taxpayers with the information and assistance they need," said O'Donnell. "The IRS reminds taxpayers to take some important steps when filing their tax returns for a smoother process. They should gather their necessary tax records, file an accurate return electronically and choose direct deposit to get their refunds faster." Taxpayers who electronically file a tax return with no issues and choose direct deposit should still receive their refund within 21 days of the date they file – similar to previous years. Due to tax law changes such as the elimination of the Advance Child Tax Credit and no Recovery Rebate Credit this year to claim pandemic-related stimulus payments, many taxpayers may find their refunds somewhat lower this year. IRS tips for a smooth filing season Fastest refunds by e-filing, avoiding paper returns: To avoid refund delays, IRS encourages taxpayers to file their tax return electronically with direct deposit instead of submitting a paper tax return. Taxpayers may use IRS Free File on IRS.gov, other tax software or a trusted tax professional. Members of the armed forces and qualifying veterans can file their federal tax return and up to three state tax returns for free electronically using MilTax, a Department of Defense program. Avoid delays; file an accurate tax return: Taxpayers should make sure they're ready to file an accurate and complete tax return. This can help avoid processing delays, extensive refund delays and later IRS notices. ... https://www.youtube.com/watch?v=GakoY4tLzFo