IRS Tax Filing Season Opens: What You Need To Know

Americans can expect to see larger standard deduction amounts when filing their 2023 tax forms. The IRS system will be available in a dozen states, including New York, to start. Bankrate.com is an independent, advertising-supported publisher and comparison service.

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For individuals, the standard deduction is now $14,600, while married couples filing jointly can claim $29,200. Taxpayers can check the status of their refunds using the IRS tool Where’s My Refund? 24 hours after filing their tax returns online, or four weeks after filing paper returns. When referring to the chart, keep in mind that gross income means all income you receive in the form of money, goods, property, and services that isn’t exempt from tax.

The standard deduction is higher for 2024 tax returns

Please visit our tax tip for more information on the administration of these proposed changes. The Internal Revenue Service typically announces the numbers more than a year in advance. gym bookkeeping We’ve covered most of the basics, but you can view the official IRS announcement of 2024 inflation changes on irs.gov.

IRS tax brackets for tax year 2025 (Will be filed in

Using tax software like FreeTaxUSA.com makes filing electronically easy and safe. Plus, the software helps you track deductions, credits, and contributions so you don’t miss any opportunities for tax savings. The IRS develops this yearly special tax time guide designed to help people understand https://animate-usa.com/accounting-advisory-what-you-need-to-know/ how tax changes affect them yearly and how to file an accurate tax return.

• A high value for alpha implies that the stock or mutual fund has performed better than would have been expected given its beta (volatility).
• It’s important to consider investment objectives, risks, charges and expenses carefully before investing.
• In fact, the number of tax refunds processed by the IRS through March 28 this year is 1.2 percent higher than the same period a year ago, the most recent IRS data show.
• When filing your taxes, you can choose to claim the standard deduction or to itemize your deductions.
• If you’re close to the next tax bracket, consider strategies like contributing to retirement accounts or maximizing deductions to keep your income in a lower bracket.

When Does Tax Season Start?

• For instance, taxpayers in parts of Virginia affected by Hurricane Helene now have until May 1, 2025, to file federal returns.
• With the filing deadline fast approaching, here’s a rundown of the latest tax updates to help you maximize deductions, avoid penalties and keep more of your hard-earned money.
• The IRS has issued numerous tax deadline extensions for affected areas in response to these devastating situations.
• If your only source of income is your Social Security check, your benefits are generally not taxable.

Then again, you’ll be setting yourself up for tax-free income in retirement. For more information, Kiplinger has tax season a running list of states with tax deadline extensions this year. However, the IRS disaster relief page has the most official, up-to-date information. Also, if you are age 65 or older, you can take advantage of the extra standard deduction.

For Joint Filers

Additionally, if you are due a tax refund, direct deposit is the fastest way to receive it. The IRS estimates that 30 million people could be eligible to participate in Direct File, saving them time and money when filing their returns. The IRS has repeatedly changed the so-called “$600 rule” for 1099-K reporting.

Digital assets are considered to be any digital representations of value recorded on a cryptographically secured distributed ledger or any similar technology. That includes non-fungible tokens (NFTs) and virtual currencies, such as cryptocurrencies and stablecoins. The IRS is taking the “if it walks like a duck” approach by clarifying, “If a particular asset has the characteristics of a digital asset, it will be treated as a digital asset for federal income tax purposes.” But feedback from taxpayers and payment processors confused by the new rules led the IRS to delay the new $600 reporting threshold requirement.

Your tax form is on time if it is properly addressed and mailed on or before the due date. If the normal due date falls on a Saturday, Sunday, or legal holiday (which is not the case in 2024), issuers have until the next business day. The offers that appear on this site are from companies that compensate us. But this compensation does not influence the information we publish, or the reviews that you see on this site. We do not include the universe of companies or financial offers that may be available to you.