We are four days into a brand new year, which here in America can only mean that the 2022 tax season is just around the corner.
While the COVID-19 pandemic along with the omicron variant could cause delays in tax season, everything is on schedule as of January 4. IRS officials are maintaining the current tax season calendar for 2022 so far, which means it’s time to start thinking about returns.
Typically, we think of April 15 as the all-important “tax day” and schedule our returns and payments accordingly. This year, however, April 15 falls on a weekday and coincides with Emancipation
Typically, we think of April 15 as the all-important “tax day” and schedule our returns and payments accordingly. This year, however, April 15 falls on a weekday and coincides with Emancipation Day, which is a widely celebrated holiday in Washington DC. Most businesses and government authorities in Washington DC close for Emancipation Day. With this in mind, the due date for filing individual tax returns and making tax payments is Monday, April 18.
IRS officials recommend the following steps to ensure a successful and hassle-free tax return process.
- File electronically and use direct deposit.
- Check IRS.gov for the latest tax information including the latest Economic Impact Payments – there’s no need to call.
- Those who may be eligible for stimulus payments, but didn’t receive them or only got a partial payment, should carefully review the guidelines for the Recovery Rebate Credit.
- Advance stimulus payments received separately are not taxable, and they do not reduce the taxpayer’s refund when they file in 2021.
- If you request a tax extension by April 18, your tax return will be due on October 17.
Tax Season Can Be Less Stressful By Being Proactive
Though the 2022 tax day is still months away, many people strive to get a jump on things by filing early. Some have already been working on filing their returns. Tax professionals say waiting till the last minute to file returns is never a good idea.
Obviously, we aren’t exactly living in normal times with a deadly pandemic hanging over our heads. While many Americans are optimistic that they will be getting a refund this year, it’s more complicated this year. In fact, some financial experts suggest you might be better assuming your refund won’t be as much as usual. Some people may even end up having to pay in this year.
Most often, Americans get federal tax refunds when they’ve paid or withheld more than the amount they owe. This year, however, stimulus payments and new tax laws have changed the game for taxpayers.
While we are still a ways away from the 2022 tax day, it never hurts to get an early start. It could go a long way in cutting out some of the stress that comes from tax season.