Every year, as the calendar changes to January, tax professionals receive a barrage of inquiries from people wondering when they should file their tax returns and when they can expect their refunds. The answers are dependent on a few factors, such as when you receive important tax documents, and filing early does not guarantee that you will receive your tax refund sooner. There are a few dates that you can always count on. The Internal Revenue Service (IRS) usually announces them no later than the second week of January for the upcoming filing season. Still, they are subject to change as the year progresses.
When Is It Possible to File Your Tax Return?
Every year, the IRS begins accepting tax returns at the end of January. The IRS will begin processing 2021 tax returns on January 24, 2022, for the 2022 tax filing season. But keep in mind that you'll need all of the required paperwork and documents to file, so keep reading.Gather Your Income Documents
Your employer has until January 31, 2022, to send you your W-2 form detailing your earnings in 2021. The majority of 1099 forms must also be sent to independent contractors by this date. If you haven't received your W-2 form, contact your employer and request a copy or duplicate copy. If you and your employer agreed to it, your W-2 might have also been posted online. As a last resort, you can contact the IRS at 800-829-1040 for assistance. If the tax-filing deadline is approaching and you still don't have your W-2, you can file IRS Form 4852, a W-2 substitute, but this can be time-consuming. You'll need to accurately calculate your earnings and withholding amount based on your final pay stub for the year, so if you find yourself in this situation, you should consult a tax professional.Is my stimulus payment considered income?
In May 2020, the IRS stated that economic impact payments made to Americans under the Coronavirus Aid, Relief, and Economic Security (CARES) Act and subsequent legislation are not taxable income. In 2020, there were two stimulus payments and one in 2021. You are not required to give any of that money back to the government, which will not reduce your refund if you are due. In addition, stimulus payments are not considered income for other purposes, such as eligibility for government benefits or assistance. Many state governments, including New Jersey and Massachusetts, have also indicated that they will not tax these stimulus payments. You probably won't have to report the payment you received on your state tax return, but check your state's website or consult with a local tax professional to be sure. A third stimulus payment was distributed to eligible recipients beginning in March 2021. This sum will not be taxed. Based on their earnings and tax situation, those who weren't eligible or didn't get the full amount may be qualified for the Recovery Rebate Credit in 2021. If you are eligible for a credit and do not owe taxes this year, your credit will provide a tax refund. The Child Tax Credit underwent a significant change in the spring of 2021. It aided many families in receiving credit advance payments. Half of the total credit was paid in advance if you were eligible, and the other half can be claimed when you file your 2021 income tax return. The IRS has provided some helpful hints for dealing with the changes during the 2022 tax filing season.When does tax preparation and filing begin?
You can begin filing your taxes as soon as you have all the necessary paperwork. Typically, the IRS begins accepting and processing tax returns during the last week of January. The date for 2022 is January 24. However, in 2021, that date was moved to February 15 to allow the IRS time to account for tax-related changes caused by the global pandemic. Suppose you have all of your income documents in order. In that case, most tax professionals and tax software programs, including those with the IRS Free File program, will prepare your tax return immediately.The Tax Return Deadline
Taxes are typically due by April 15. For 2022, however, you have until April 18, 2022, to file your 2021 income tax returns and pay any tax owed. If you live in Maine or Massachusetts, you have until April 19, 2022, to file your Form 1040 or Form 1040-SR. This is due to Emancipation Day on April 15, 2022, and Patriot's Day on April 18, 2022. Those who are unable to prepare and file their tax returns by April 18 can request a six-month extension from the IRS, pushing the filing deadline back to October 17, 2022. (or April 19). Normally, the end date of the extension is October 15, but in 2022, that date is a Saturday. To qualify for the extension, you must file Form 4868 rather than a tax return by the April deadline.When Will You Get Your Money Back?
The IRS has historically stated that most refunds are issued in less than 21 days, but it can take up to six weeks if you mail in a paper return. If you prefer a paper check over a direct deposit, the IRS recommends adding an additional ten days to allow for the postal delivery process. It may be affected by the tax credits you claim. In 2017, the Protecting Americans from Tax Hikes Act of 2015, also known as the "PATH Act," began delaying some refunds. Suppose you expect a refund because you claimed the earned income tax credit (EITC) or the refundable portion of the child tax credit. No matter when you file your return, the IRS is not allowed to issue your refund before mid-February in that case. According to the PATH Act, the IRS requires time to examine returns claiming these refunds in order to prevent fraud. Tip: You can check the status of your refund and get a more precise date after that time by visiting the IRS's "Where's My Refund?" page on its website. Even if your refund is only partially due to the EITC or the child tax credit, you are still subject to this delay. If you overpaid $1,000 in taxes and are also entitled to a $1,000 EITC refund, the IRS will not send you a single $1,000 refund and will hold the EITC portion of your refund until mid-February. The processing of your entire refund will be delayed.More Tax Planning Suggestions
Filing and refund deadlines aren't the only ones that taxpayers must consider. Certain payments and reporting requirements are spaced throughout the calendar year, and failing to meet any of them could result in a headache. You should also be aware of the following deadlines: Sole proprietors and independent contractors who are not subject to employer withholding should make estimated quarterly payments on January 15, April 15, June 15, and September 15 of each year. The date is January 2022 is actually January 18, and its payment is especially significant because it is the final payment for the fiscal year 2021. Employees who earn more than $20 in tips in December 2021 must report them to their employers on Form 4070 by January 10, 2022, and each month thereafter. You have until April 18, 2022, to make 2021 IRA contributions.Questions and Answers (FAQs)
When is the deadline for filing a tax extension?
You have until the tax due date to file an extension for your federal taxes. An extension is free and allows you to file your return on October 17 (in 2022). Please keep in mind that this only applies when your tax returns are due. You must pay taxes by the federal tax filing deadline (typically April 15) if you owe taxes.When is the deadline to file your taxes?
The deadline for filing your taxes is usually April 15 or the following business day if it falls on a weekend (so April 18 in 2022). That means you must file your taxes electronically (or have your tax preparer send them to you) or mail them by the due date. You have until October 17 if you file for an extension in 2022.