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Tax News for 2021
Tax Time Guide: Use the Where’s My Refund? tool or IRS2Go app to check tax refund status
IR-2021-60, March 18, 2021
WASHINGTON — The Internal Revenue Service today reminds taxpayers that the most convenient way to check on a tax refund is by using the Where’s My Refund? tool at IRS.gov or through the IRS2Go Mobile App.
Taxpayers can start checking their refund status within 24 hours after an e-filed return is received. In addition, Where’s My Refund provides a personalized date after the return is processed and a refund is approved.
Go paperless
Now more than ever, the safest and best way to file a complete and accurate tax return and get a refund is to file electronically and use direct deposit. Taxpayers can visit IRS.gov/filing for more details about IRS Free File, Free File Fillable Forms and free tax preparation sites. E-filing is also available through a trusted tax professional.
Refund timing
While most tax refunds are issued within 21 days, some may take longer because the return requires additional review.
There are several reasons a tax refund may take long:
- The return may include errors or be incomplete.
- The return could be affected by identity theft or fraud.
- The return includes a claim for the Earned Income Tax Credit or Additional Child Tax Credit.
- The time between the IRS issuing the refund and the bank posting it to an account since many banks do not process payments on weekends or holidays.
The IRS will contact taxpayers by mail if more information is needed to process a return.
Taxpayers claiming the Recovery Rebate Credit on their tax return will not cause a delay in the processing of that tax return. However, it is important that taxpayers claim the correct amount. If a correction is needed, there may be a slight delay in processing the return and the IRS will send a notice explaining any change made. Refunds may be delayed while the IRS makes any necessary corrections.
Fast and easy refund updates
Taxpayers can use Where’s My Refund? to start checking on the status of their return within 24 hours after the IRS acknowledges receipt of an electronically filed return or four weeks after the taxpayer mails a paper return. The tool’s tracker displays progress through three phases:
- Return Received;
- Refund Approved; and
- Refund Sent.
To use it a taxpayer must enter their Social Security number or ITIN (Individual Taxpayer Identification Number) , their filing status and the exact whole dollar amount of their refund. The IRS updates “Where’s My Refund? once a day, usually overnight, so there’s no need to check more frequently.
Calling IRS doesn’t speed up refund timing
Calling the IRS won’t expedite a tax refund. The information available on Where’s My Refund? is the same information available to IRS telephone assistors.
Most taxpayers who want to prepare their own returns can file electronically for free with IRS Free File. Alternatively, taxpayers who qualify can get free tax help from trained volunteers at community sites around the country.
Ignore refund myths
Some people mistakenly believe they can expedite their refund by ordering a tax transcript, calling the IRS or calling their tax preparer. Ordering a tax transcript will not help a taxpayer get their refund faster or find out when they’ll get their refund.
Filing options
Taxpayers can use several options to help find a paid tax preparer. One resource is Choosing a Tax Professional, which includes a list of consumer tips for selecting a tax professional.
The Directory of Federal Tax Return Preparers with Credentials and Select Qualifications is a free searchable and sortable database. It includes the name, city, state and zip code of credentialed return preparers who are CPAs, enrolled agents or attorneys, as well as those who have completed the requirements for the IRS Annual Filing Season Program. A search of the database can help taxpayers verify credentials and qualifications of tax professionals.
Taxpayers can find answers to questions, forms and instructions and easy-to-use tools online at IRS.gov anytime. No appointment required and no waiting on hold.
This news release is part of a group of IRS tips called the Tax Time Guide. The guide is designed to help taxpayers as they near the May 17, 2021, tax filing deadline.
Tax News for 2021
Tax Day for individuals extended to May 17: Treasury, IRS extend filing and payment deadline
IR-2021-59, March 17, 2021
WASHINGTON — The Treasury Department and Internal Revenue Service announced today that the federal income tax filing due date for individuals for the 2020 tax year will be automatically extended from April 15, 2021, to May 17, 2021. The IRS will be providing formal guidance in the coming days.
“This continues to be a tough time for many people, and the IRS wants to continue to do everything possible to help taxpayers navigate the unusual circumstances related to the pandemic, while also working on important tax administration responsibilities,” said IRS Commissioner Chuck Rettig. “Even with the new deadline, we urge taxpayers to consider filing as soon as possible, especially those who are owed refunds. Filing electronically with direct deposit is the quickest way to get refunds, and it can help some taxpayers more quickly receive any remaining stimulus payments they may be entitled to.”
Individual taxpayers can also postpone federal income tax payments for the 2020 tax year due on April 15, 2021, to May 17, 2021, without penalties and interest, regardless of the amount owed. This postponement applies to individual taxpayers, including individuals who pay self-employment tax. Penalties, interest and additions to tax will begin to accrue on any remaining unpaid balances as of May 17, 2021. Individual taxpayers will automatically avoid interest and penalties on the taxes paid by May 17.
Individual taxpayers do not need to file any forms or call the IRS to qualify for this automatic federal tax filing and payment relief. Individual taxpayers who need additional time to file beyond the May 17 deadline can request a filing extension until Oct. 15 by filing Form 4868 through their tax professional, tax software or using the Free File link on IRS.gov. Filing Form 4868 gives taxpayers until October 15 to file their 2020 tax return but does not grant an extension of time to pay taxes due. Taxpayers should pay their federal income tax due by May 17, 2021, to avoid interest and penalties.
The IRS urges taxpayers who are due a refund to file as soon as possible. Most tax refunds associated with e-filed returns are issued within 21 days.
This relief does not apply to estimated tax payments that are due on April 15, 2021. These payments are still due on April 15. Taxes must be paid as taxpayers earn or receive income during the year, either through withholding or estimated tax payments. In general, estimated tax payments are made quarterly to the IRS by people whose income isn’t subject to income tax withholding, including self-employment income, interest, dividends, alimony or rental income. Most taxpayers automatically have their taxes withheld from their paychecks and submitted to the IRS by their employer.
State tax returns
The federal tax filing deadline postponement to May 17, 2021, only applies to individual federal income returns and tax (including tax on self-employment income) payments otherwise due April 15, 2021, not state tax payments or deposits or payments of any other type of federal tax. Taxpayers also will need to file income tax returns in 42 states plus the District of Columbia. State filing and payment deadlines vary and are not always the same as the federal filing deadline. The IRS urges taxpayers to check with their state tax agencies for those details.
Winter storm disaster relief for Louisiana, Oklahoma and Texas
Earlier this year, following the disaster declarations issued by the Federal Emergency Management Agency (FEMA), the IRS announced relief for victims of the February winter storms in Texas, Oklahoma and Louisiana. These states have until June 15, 2021, to file various individual and business tax returns and make tax payments. This extension to May 17 does not affect the June deadline.
For more information about this disaster relief, visit the disaster relief page on IRS.gov.
Tax Year 2020
The IRS called, was it really them??
Note that the IRS does not:
- Call to demand immediate payment using a specific payment method such as a prepaid debit card, gift card or wire transfer. Generally, the IRS will first mail a bill to any taxpayer who owes taxes.
- Demand that you pay taxes without the opportunity to question or appeal the amount they say you owe. You should also be advised of your rights as a taxpayer.
- Threaten to bring in local police, immigration officers or other law-enforcement to have you arrested for not paying. The IRS also cannot revoke your driver’s license, business licenses, or immigration status. Threats like these are common tactics scam artists use to trick victims into buying into their schemes.
Read the article at https://www.irs.gov/newsroom/how-to-know-its-really-the-irs-calling-or-knocking-on-your-door.
Tax Year 2020
See who’d be eligible for coronavirus checks under Senate GOP plan
“The plan unveiled Thursday night by Senate Republicans to send direct cash payment to help Americans hurt by the coronavirus pandemic would send checks of up to $1,200 per person in a one-time payment — and payments would be based on income.” Click HERE to read the full article.
Tax Year 2020
Oklahoma Small Business Disaster Economic Injury Assessment
The U.S. Small Business Administration is offering low-interest federal disaster loans for working capital to Oklahoma small businesses suffering substantial economic injury as a result of the Coronavirus (COVID-19).
Oklahoma businesses affected by the Coronavirus are asked to fill out the Oklahoma Department of Emergency Management’s Small Business Disaster Economic Injury Assessment survey by clicking HERE.
When SBA Economic Injury Disaster Loan applications are made available, the Oklahoma Department of Commerce will have staff available to assist small businesses with filling out the forms. Companies needing assistance with the application forms and economic development organizations providing assistance to businesses in their communities should contact Ray Little at ray.little@okcommerce.gov or 405-815-5227.
Tax Year 2020
Coronavirus: Resources, Updates, and What You Should Know
U.S. Department of the Treasury’s portal for coronavirus information and resources.
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