Tips from the IRS to Create a Smooth Tax Filing Season

The IRS is reminding taxpayers to electronically file accurate tax returns to speed refunds as more than 160 million individual tax returns are expected to be file 2021 tax returns. The tax deadline this year is on April 18 due to the Emancipation Day holiday in Washington, D.C. As several critical tax law changes took place in 2021, IRS Commissioner Chuck Rettig noted that taxpayers should take special care this year and file electronically as filing a paper tax return will mean an extended refund delay. 

Most taxpayers who file a return with no issues will receive their refund within 21 days of when they file electronically if they choose direct deposit. Additionally, the IRS has issued the following tips for a smooth filing season:

  • Taxpayers who received a third Economic Impact Payment or advance Child Tax Credit (CTC) in 2021 should ensure that they enter these amounts correctly on the tax return. The IRS mailed special letters about stimulus payments and advance CTC payment amounts a few months ago or you can check the amount of payments in their Online Account available on IRS.gov.

  • Individuals who do not normally file a return and did not file a 2020 return should file a 2021 return to receive the credits for which they are eligible. These credits include the Recovery Rebate Credit, advance CTC, or the Earned Income Tax Credit.

  • Taxpayers whose tax returns from 2020 have not yet been processed can still file their 2021 tax returns. These taxpayers, if filing electronically, need their Adjusted Gross Income (AGI) from their most recent tax return. Taxpayers who are waiting on their 2020 tax return to be processed should enter zero dollars for last year’s AGI on their 2021 tax return.

  • Automatic six-month extensions of time to file are available for anyone by filing Form 4868, Application for Automatic Extension of Time to File U.S. Individual Income Tax Return.

This year is going to be complicated for many people, so if you have questions or need help preparing and filing your return, we are here to assist you.