What Do I Need To File Taxes
Employees need W-2s and non-employees, including contractors or gig workers, need 1099s. These forms will either be mailed to you in February or will be available online through your payroll company.
Banks are also required to send 1099s to customers who received interest or dividends.
If you still don’t have your W-2 by the tax deadline, you can use the W-2 substitute, Form 4852, and estimate your wages and withheld taxes. Note that the IRS could delay your refund while verifying the information.
You’ll also need your adjusted gross income from the previous year to sign and file your tax return.
Get A Copy Of A Tax Return
Mail the following items to get an exact copy of a prior year tax return and attachments:
- A completed Form 4506.
- $43 fee for each tax return requested. Make the check or money order payable to the United States Treasury.
Send them to the address listed in the form’s instructions. The IRS will process your request within 75 calendar days
Pro: You’ll Have More Time To Seek A Refund Later
Let’s say you file your tax return today and pay $100 in tax. In August 2025, you discover a mistake on the return that results in a refund to you. In that case, you’re out of luck it’s too late to claim the refund. However, if you request a tax extension and wait to file this year’s return until October 17, you’ll still have time to request a refund when you discover the error in August 2025.
The tax law allows three years from the time a return is filed or two years from the time the tax is paid, whichever is later, to claim a refund related to the return. The later you file, the more time you’ll have to file a refund claim later. While this type of scenario is relatively rare, it does happen. And if it happens to you, you’ll thank your luck stars that you requested a tax extension if it means you won’t lose out on a refund.
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More From Financial Empowerment
Unless you choose to file for an extension you must file and pay any remaining federal income taxes you owe for 2020 by May 17.
That way, you will avoid being hit with any potential late filing or late payment penalties.
But if you do miss your filing or payment deadlines, you may be eligible for first-time penalty relief.
There are two exceptions to the new extended federal deadline.
The first applies to anyone who pays estimated taxes, including many small businesses. Your usual April 15 payment was still due on April 15.
The second applies to anyone living in Texas, Oklahoma and Louisiana, who were hit hard by the February storms. The IRS extendedthe federal tax deadline for residents in those states to June 15.
New In : Those Who Didn’t Receive An Eip May Be Able To Claim The Recovery Rebate Credit
Taxpayers may be able to claim the Recovery Rebate Credit if they met the eligibility criteria in 2020 and:
- They didn’t receive an Economic Impact Payment this year, or
- Their Economic Impact Payment was less than $1,200 plus $500 for each qualifying child.
- For additional information about the Economic Impact Payment, taxpayers can visit the Economic Impact Payment Information Center.
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How Can I Start Filing My Taxes Early
The good news is that you can start filing your taxes on December 3, 2022, if you file your taxes online. You can prepare your tax return now and have it automatically submitted it as soon as the IRS begins accepting tax returns in 2023.
The sooner you file, the sooner youll get your refund. Here are a few benefits to filing your taxes early.
The IRS is urging taxpayers to file their taxes as soon as possible, especially if they are expecting a refund. Whether youre expecting a refund or not, filing your taxes early is a good idea.
Con: You Have More Time To Worry About Taxes
Nobody really likes to think about taxesso why not just get it over with so you can forget about taxes until next year. Pushing your tax return off until October means you’ll just have six more months to worry about it. If you don’t need more time, don’t take it.
Plus, the task of filing your return won’t be any easier in October. You’ll still have to collect all your tax records, fill out the forms, do the research, etc. Do you really want that hanging over your head any longer?
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Remember To File For S Corporation Status
âS corporation is a special federal tax statusâ granted by the IRS. A corporation meeting the qualifications can get it by successfully filing IRS Form 2553. If youâve done this, many states will recognize your S corporation status when you file your state taxes. New York State however, will not.
Even if you have successfully filed a Form 2553 with the IRS, you must file another separate form with New York State to be considered a New York S corporation: Form CT-6 .
If you fail to file a CT-6, you will be taxed like a traditional C corporation, which pays a slightly higher New York franchise tax than S corporations do and misses out on the other tax advantages of S corps.
Will Tax Refunds Be Bigger In 2023
In November 2022, the IRS warned that tax refunds issued in 2023 may be smaller. This is because taxpayers wont be receiving any Economic Impact Payments as they did in the past.
Taxpayers will also have to submit Form 1099-K for third-party transactions that exceed $600. In the past, 1099-Ks were only issued for transactions if the number of transactions exceeded 200 for the year and the aggregate amount of these transactions exceeded $20,000.
The IRS also stated that if a taxpayer doesnt itemize and take the standard deduction, they wont be allowed to deduct charitable contributions. This year, the IRS raised the standard deduction for all categories of taxpayers. They are as follows:
- Single or married filing separately, $12,950
- Head of household, $19,400
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Protect Yourself From Tax
Tax ID theft occurs when someone steals your personal information to file a tax return using your personal data. Usually, the fraudulent tax filer will use your Social Security number to file your return in order to collect a refund. To protect yourself from tax ID theft, you can obtain a six-digit Identity Protection PIN from the IRS. IP PINs are known only to you and the IRS so the IRS is able to confirm your identity when you file your return. Learn more about how the IP PIN works and how to apply.
If You Owe More Than You Can Pay
If you cannot pay what you owe, you can request an additional 60-120 days to pay your account in full through the Online Payment Agreement application or by calling no user fee will be charged. If you need more time to pay, you can request an installment agreement or you may qualify for an offer in compromise.
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How Do I File For A Tax Extension
If you cannot file your taxes by the April 15 deadline, you can request a tax extension from the IRS. This will give you an additional six months to file your return. You can request a tax extension by filing Form 4868 with the IRS.
When requesting a tax extension, you should estimate your tax liability and pay any taxes that you owe. This will help to avoid penalties and interest charges.
If you do not pay your taxes owed, you may be subject to a late payment penalty of 5% per month on the unpaid balance.
If you cannot pay your taxes in full, you should still file your return and pay as much as possible. You can set up a payment plan with the IRS to make monthly payments on your outstanding balance.
Keep Your Cra Information Up
File your taxes online or by paper, or find other options such as having someone else complete them for you:
File your tax return online or mail us your completed tax return to your tax centre
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Late Sales Tax Filing Penalties And Interest
Filing a New York sales tax return late may result in a late filing penalty as well as interest on any outstanding tax due. For more information, refer to our section on penalties and interest.
In the event a New York sales tax filing deadline was missed due to circumstances beyond your control , the New York Department of Taxation and Finance may grant you an extension. However, you may be asked to provide evidence supporting your claim.
Hopefully you dont need to worry about this section because youre filing and remitting New York sales tax on time and without incident. However, in the real world, mistakes happen.
If you miss a sales tax filing deadline, follow the saying, better late than never, and file your return as soon as possible. Failure to file returns and remit collected tax on time may result in penalties and interest charges, and the longer you wait to file, the greater the penalty and the greater the interest.
How Can I File Taxes Online
The process is simple and easy to follow. All you need is a computer with an internet connection and youre good to go.
Heres a step-by-step guide on how to file taxes online in 2023:
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File A 2020 Tax Return If Youre Missing Stimulus Payments And Think Youre Eligible For More Money
I know many people have questions about tax law changes related to the American Rescue Plan Act of 2021. I urge you to start with IRS.gov Coronavirus Tax Relief to find the most updated information when its available. If youre looking for general information, the best place to start is IRS.gov. It will save you time because our employees wont be able to provide much more information if you call.
Economic Impact Payments, also known as stimulus payments, are different from most other tax benefits. Thats because people can get them even if they have little or no income, and even if they dont usually file a tax return. This is true as long as you are not being claimed as a dependent by someone else and you have a Social Security number. When it comes to missing stimulus payments, its critical that you file a 2020 tax return even if you dont usually file to provide information the IRS needs to send the payments for you, your eligible spouse and eligible dependents.For anyone who missed out on the first two rounds of payments, its not too late. If you didn’t get a first and second Economic Impact Payment or got less than the full amounts, you can get that missing money if youre eligible for it, but you need to act. All first and second Economic Impact Payments have been sent out by IRS. If your 2019 tax return has not been processed yet, the IRS wont send you the first or second payment when it is.
What’s The Deadline For Filing Your Federal Tax Return
- The deadline for filing federal taxes this year for most taxpayers is Monday, April 18.
- Taxpayers in Maine and Massachusetts, however, have until because of the observance of Patriots’ Day in those states.
- The IRS has also announced extended federal tax filing deadlines for victims of winter storms in parts of Tennessee, Illinois and Kentucky, and victims of wildfires in Colorado. An extended May 16 deadline is limited to affected counties, which can be found on the IRS’ page on tax relief in disaster situations.
- In addition, if you’re serving in the military abroad, including in a combat zone or as part of a contingency operation in support of the US Armed Forces, you may be granted additional time to file your return.
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Pro: You Get More Time To File
If you simply can’t file your return by the April 18 deadline, then by all means get a tax extension. You’re sick, you can’t find your tax records, your computer crashedwhatever the reason, if you can’t file you can’t file. Don’t bang your head against the wall trying to come up with a way to get your return in before the clock runs out. Take the extension!
More time can also mean a more accurate tax return. For example, you will have more time to determine which tax breaks apply to you and which ones don’t. Haste makes waste. So, if you’re not sure about how to handle something on your tax return, don’t rush it taking the tax extension will buy you more time to figure it out.
Are You 65 Or Older Enjoy A Bigger Standard Deduction
In order to itemize deductions, you need to have more in deductions than the standard deduction, which everyone gets. For the 2020 tax year, the standard deduction is $12,400 for individuals and $24,800 for married couples filing jointly, which is up from the $12,200 for individuals and $24,400 for married couples in 2019. It’s $18,650 for heads of households, which is up $300 from 2019.
Taking the generous standard deduction isn’t the worst thing in the world: If you rented your home or didn’t have a pile of other deductions, your standard deduction is probably more than you would get by itemizing. And taking the standard deduction means you don’t have to keep a shoebox full of receipts all year.
The standard deduction for 2020 gets even better for age 65-plus taxpayers. Married taxpayers born before Jan. 2, 1956, whether filing jointly or separately, get an extra $1,300 apiece added to their standard deductions. The additional standard deduction is $1,650 for singles and heads of households. You are also eligible for the same additional standard deduction amounts if you are blind and younger than 65. If you are over 65 and blind, the amounts double.
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What Do I Do About Missing Tax Forms
If you don’t receive your income forms, you should first contact the employer and request a copy or ask that it be re-sent. If that doesn’t work, you can then contact the IRS at 1-800-829-1040 . You’ll need to provide the following information:
- Name, address, Social Security number, and phone number
- Your employer’s name, address, and phone number
- Dates you worked for your employer
- An estimate of your paid wages and federal income tax withheld during 2021
Pro: You Might Get More Time To Beef Up Your Retirement Savings
For self-employed people, getting a filing extension can also provide more time to contribute to a retirement savings account. Normally, contributions to a Solo 401 plan or Simplified Employee Pension IRA for the previous calendar year have to be made by the original tax return filing deadline . However, if you get an extension to file your return, you also get an extension to contribute money to these types of accounts.
There’s another perk that everyone gets whether you’re self-employed or an employee by claiming a filing extension. If you exceeded the 2021 IRA contribution limits, you get six more months to withdraw the excess funds and, thereby, avoid a stiff penalty. If you don’t claim a tax extension, you’ll have to take out the extra contributions by April 18.
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Do You Need To File A Tax Return
Here’s how to figure out if you should file a tax return this year:
- Look at your income to see if you made the minimum required to file a tax return
- Decide which filing status is best for you
- If you’re retired, find out if your retirement income is taxable
- Find out if you qualify to claim certain to lower the amount of tax you owe
- Use the Interactive Tax Assistant to see if you need to file
S Taxpayers Can Take Now To Make Tax Filing Easier In 2021
Taxpayers should gather Forms W-2, Wage and Tax Statement, Forms 1099-MISC, Miscellaneous Income, and other income documents to help determine if they’re eligible for deductions or credits. They’ll also need their Notice 1444, Your Economic Impact Payment, to calculate any Recovery Rebate Credit they may be eligible for on their 2020 Federal income tax return.
Most income is taxable, including unemployment compensation, refund interest and income from the gig economy and virtual currencies.
Taxpayers with an Individual Taxpayer Identification Number should ensure it hasn’t expired before they file their 2020 federal tax return. If it has, IRS recommends they submit a Form W-7, Application for IRS Individual Taxpayer Identification Number, now to renew their ITIN. Taxpayers who fail to renew an ITIN before filing a tax return next year could face a delayed refund and may be ineligible for certain tax credits.
Taxpayers can use the Tax Withholding Estimator on IRS.gov to help determine the right amount of tax to have withheld from their paychecks. If they need to adjust their withholding for the rest of the year time is running out, they should submit a new Form W-4, Employee’s Withholding Certificate, to their employer as soon as possible.
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