Tax season can be draining, frustrating, and difficult enough as it is.
Here’s how to make sure you also don’t add on any fun penalties to the mix of things.
This year, tax season is starting earlier than normal. The IRS announced that tax filing season would officially open on Monday, January 24. Different software companies will also be accepting tax filings earlier this year. People can start filing their tax returns as early as possible. The hope is that it will help the IRS get through this season, seeing as the organization is currently understaffed and overworked.
Dates to Keep in Mind for 2022 Tax Season
According to The Sun, while January 24 is an important date, there are several others you’ll want to keep in mind to avoid any penalties or miss any important deadlines. January 18 is the due date for the fourth quarter estimated tax payment from 2021.
That’s the majority of things to worry about in January. Then, by February 15, you should go ahead and fill out your W-4 film and give that to your employer if needed.
Then comes April, which has always been the biggest month when it comes to taxes. On April 1, this is the deadline for people to make their first Required Minimum Distribution to their retirement account if they happened to turn 72 the year before.
As for the most important deadline, underline, bold, and highlight April 18 in your calendar. This is the deadline for filing tax returns. Unless you file for a six-month extension, you need to have your returns in on this date. This is also the deadline for contributing to an individual retirement account for 2021.
If you live in Maine or Massachusetts, you have until April 19 to file tax returns. June 15 is the deadline for Americans that are currently abroad or serving in the military to file their tax returns. If you do file an extension, your tax returns will be due on October 17 instead. May 16 is the deadline for those impacted by a Midwest tornado on December 10 or a Colorado wildfire on December 30 to file both individual and business returns.
Be sure to keep dates in mind. Otherwise, you’ll miss out on certain tax breaks and could also get some penalties.
Why is the Tax Season so Stressful this Year?
The IRS has already been warning people to get ready for frustration.
Due to the pandemic and different budget cuts, the tax season will be a lot harder on both sides.
“Listen, the bottom line is that the IRS right now is behind and in a very big way. It’s understaffed, it’s underfunded, it’s trying to work through the pandemic with staffing shortages and tax law changes. That could mean delays for you when you file your taxes. They are going to start accepting returns in two weeks, but for most of us, returns are not due until April 18,” Tom Costello said during a segment on the “Today” show.
The best way to get your taxes in is to file them electronically, not using physical forms. Also, select a direct deposit to get your return fast. By doing this, you’ll likely not face any delays.