When is Tax Day this year and what changes should you be aware of before you file your taxes this spring?
This year’s filing will be slightly different.
Here’s what you need to know.
What is the deadline for filing your taxes in 2022?
April 15 is a day that many Americans dread, as it represents the traditional deadline for individuals to file their federal and state income tax returns.
That’s not always the case, however, and it’s not this year either.
While most Americans will have filed their taxes by April 15 anyway, that’s not the filing deadline this year. Instead, the vast majority of Americans will be required to file their taxes by Monday, April 18.
Why is Tax Day different this year?
The answer has to do with a holiday observed in Washington, D.C. Emancipation Day, a holiday celebrating the freeing of slaves in the nation’s capital, is celebrated either on April 16 or on years when that date falls on a weekend. -end, it is marked on the day of the week closest to this date.
Federal employees get a day off, including at the Internal Revenue Service.
This year, April 16 falls on a Saturday, which means the nearest weekday is April 15.and of the month. As a result, the deadline for filing tax returns has been extended to April 18.
In 2023, the tax deadline will move forward again, as April 15 and 16 will fall on a weekend. Employees in Washington, DC will have the day off on April 17, and therefore the deadline will again fall on April 18.
According to the federal government, there are residents of two different states who will actually have until April 19 to file their taxes. These residents would normally file on the 18thandbut since this is the day Patriots Day is observed in both states, their deadline will be extended to the 19thand in place.
The next time the tax deadline will fall on April 15 is in 2024, when the date falls on a Monday. As a result, Emancipation Day will be celebrated on its usual date of April 16.
How can I check the status of my return?
The Illinois Department of Revenue said “in addition to free Form IL-1040 filing through MyTax Illinois, individuals can also use the site to make payments, respond to department requests, and check the status of their refunds. using the Where is my refund? link.
What about the earned income tax credit?
Are you eligible for an earned income tax credit?
If you weren’t last year, that might have changed.
Under the new guidelines, more people without children are eligible to receive the federal Earned Income Tax Credit (EITC), the federal government’s largest refundable tax credit for low-to-middle income families, according to the report. ‘Internal Revenue Service.
The tax claim could help taxpayers earn an even bigger return, but according to the Illinois Department of Revenue, many Illinois residents are missing out.
The EITC and its Illinois counterpart, the Illinois Earned Income Credit (EIC), could provide greater returns to eligible filers. But you will have to claim it on your tax return in order to see the benefits.
In a change from years past, the federal credit is now available to younger workers and seniors without children. To be eligible, workers must be at least 19 years old and over 64, according to the IRS. Previously, the single person credit was only available to people between the ages of 25 and 64.
To find out if your family is eligible for the credit, click here.
What about the child tax credit?
Millions of Americans who have never filed taxes will need to do so this year in order to claim what is rightfully theirs under the enhanced Child Tax Credit.
Previously, only people who made enough money to owe income taxes could get the full credit.
But as part of the $1.9 trillion coronavirus relief package, President Joe Biden has expanded the program, increasing payments up to $3,600 a year for each child age 5 or younger and 3 000 dollars for those aged 6 to 17.
Monthly payments amounted to $300 for each child 5 and under and $250 for those between 5 and 17.
The government began sending the payments – a total of $93 billion – on a monthly basis from last July. Now there are six more months of payments waiting to be claimed. And some families have not yet received any of the benefits due to them. In total, an estimated $193 billion has yet to be claimed.
The only way to receive this money is to file a tax return.
Here are some questions and answers about who qualifies for credit and how to get it.
What should I do if I have questions?
IDR said it plans to extend its phone hours on April 15 from 8 a.m. to 7 p.m. and April 18 from 7:30 a.m. to 7 p.m. to help answer questions from residents.
For the most up-to-date information, forms, schedules, and instructions for the 2022 tax season, residents can visit tax.illinois.gov.
What can I do to avoid misclassifications?
Here are some recommendations from the IRS:
File electronically. Taxpayers can use their computer, smartphone, or tablet to file their taxes electronically, whether through IRS Free File or other electronic file service providers, to reduce errors. Tax software walks people through each section of their tax return using a question-and-answer format. Enter the information carefully. This includes all the information needed to calculate credits and deductions. Using tax software should help prevent math errors, but taxpayers should always verify the accuracy of their tax returns.
Use the correct filing status. Tax software, including IRS Free File, also helps avoid errors when selecting a tax filing status. If taxpayers are unsure of their filing status, the interactive tax wizard on IRS.gov can help them choose the right status, especially if multiple filing statuses apply.
Answer the question about virtual currency. The 2021 Forms 1040 and 1040-SR ask whether, at any time in 2021, a person received, sold, traded, or otherwise disposed of a financial interest in a virtual currency. Taxpayers should not leave this field blank but should check “Yes” or “No”.
Report all taxable income. Under-reporting income can result in penalties and interest. Organized tax records help avoid errors that lead to processing delays and can also help find missed deductions or credits. Taxpayers should have all their income documents in hand before starting their tax return. Examples are Form W-2, 1099-MISC, or 1099-NEC.
Include unemployment benefits. The IRS is seeing situations where people are not including unemployment benefits they received in 2021 on their tax returns. Although a special law allowed taxpayers to exclude unemployment benefits from taxes in 2020, it was only for that year. Unemployment compensation received in 2021 is generally taxable, so taxpayers must include it as income on their tax return.
Check the name, date of birth, and social security number entries. Taxpayers must correctly report the name, Social Security Number (SSN), and date of birth of each person they claim as a dependent on their individual tax return. Enter each SSN and the individual’s name on a tax return exactly as printed on the Social Security card. If a dependent or spouse does not have and is not eligible to obtain an SSN, provide the Individual Tax Identification Number (ITIN) instead of an SSN.
Check routing and account numbers. Requesting direct deposit of a federal refund into one, two or even three accounts is convenient and gives the taxpayer faster access to their money. Ensure that the routing and financial institution account numbers on the return are correct. Incorrect numbers may delay the refund or deposit it to the wrong account. Taxpayers can also use their refund to buy US savings bonds.
Paper mail returns to the correct address. Paper filers should confirm the correct address for where to file on IRS.gov or form instructions to avoid processing delays. Note that processing paper tax returns may take significantly longer than usual. Taxpayers and tax professionals are encouraged to file their returns electronically if possible.
Sign and date the return. If you are filing a joint return, both spouses must sign and date the return. Electronic filers can sign using a personal identification number (PIN) that they choose. Taxpayers should see special instructions for validating their 2021 electronic tax return if their 2020 return has not yet been processed.
Keep a copy. When ready to file, taxpayers should make a copy of their signed return and all schedules for their records.
Ask for an extension, if necessary. Taxpayers who cannot meet the April 18 deadline can easily request a six-month extension to October 17 and avoid late filing penalties. Use the free file or Form 4868. But keep in mind that although an extension grants additional time to file, tax payments are still due on April 18 for most taxpayers.