Tax Season 2022
Tax Season has officially begun! The IRS has reported that January 24, 2022, was the official start of the 2022 tax season. The IRS has already started accepting tax filings, so it's likely that you have already been getting your tax documents like your W-2s and 1099s. The season will officially end on April 18, 2022, a date that is later than usual.
Like the 2021 tax season, the 2022 tax season is likely to be complex and busy. Below we'll provide a few tips, some statistics, and key deadlines to make your tax filings a little easier.
Tax Filing During the Pandemic
The coronavirus pandemic continues to create challenges. The IRS received more than 145 million calls during the first five months of 2021's tax filing season. The IRS expects that 2022's tax season might be very busy as well. Government stimulus payments and child tax credits issues are likely to add levels of complexity that may lead to delays in document review and tax refunds. For this reason, the IRS recommends that you try to do your filing electronically and set up a direct deposit account.
What to Expect
According to the IRS, "Last year's average tax refund was more than $2,800. More than 160 million individual tax returns for the 2021 tax year are expected to be filed, with the vast majority of those coming before the traditional April tax deadline." Most people should expect their tax refunds to arrive soon after, at most 21 days after filing their taxes. However, tax refunds that include elements like the Earned Income Tax Credit (EITC) or the Additional Child Tax Credit (ACTC) cannot be received law before the middle of February, even if the taxes are filed early in the season.
The IRS offers programs like Volunteer Income Tax Assistance (VITA) and Tax Counseling for the Elderly (TCE). VITA offers tax assistance services for people with disabilities, limited-English speakers, and making $58,000 or less. TCE offers tax counseling services for people 60 years or older and specializes in retirement and pension-related questions. These options are particularly useful to individuals living in underserved communities who may not have easy access to accounting services. They might not, however, be suitable for individuals filing tax returns with complex elements that might often appear in business tax filings. Dale Solution offers not just personal tax filing services but business tax filing, bookkeeping, and incorporation and business restructuring advice. Tax filing can be very complex on its own, but as we have mentioned, the pandemic has made the last season challenging, and it's not likely to be different this year. As a result, you will benefit by hiring a firm like Dale Solution, which is invested in letting you run your business while Dale takes care of the bookkeeping and taxes.
Tips
- W-2s
- 1099s
- Social Security Numbers
- Individual taxpayer identification numbers
- Identity protection personal identification numbers
Key Dates
- January 24: IRS opens tax season and begins to accept filings
- April 18: Last day to file 2021 tax returns or request extension and pay taxes owed (April 10 for residents of Massachusetts and Maine)
- October 17: Due date to file for those who requested extension
Get in touch with Dale Solution Miami if you have any questions regarding how we can help you and your business grow.