Tax Filing Season 2019 — How Tax Reform Might Impact You
Overview
The Internal Revenue Service successfully opened the 2019 tax-filing season on January 28, 2019, as they began accepting and processing federal tax returns for tax year 2018.
More than 150 million individual tax returns for the 2018 tax year are expected to be filed. With the vast majority of those coming before the April tax deadline. The IRS has already received several million tax returns since the official opening hours for filing.
“I am extremely proud of the entire IRS workforce. The dedicated IRS employees have worked tirelessly to successfully implement the biggest tax law changes in 30 years and launch tax season for the nation. Although we face various near and longer-term challenges, our employees are committed to doing everything we can to help taxpayers and get refunds out quickly,” said IRS Commissioner, Chuck Rettig.
Following the government shutdown, the IRS is working to promptly resume normal operations.
Many refunds are expected to be paid by mid-to-late February like previous years.
The IRS expects about 90 percent of returns to be filed electronically. Choosing e-file and direct deposit remains the fastest and safest way to file an accurate income tax return and receive a refund.
“Where’s My Refund?” on IRS.gov and the IRS2Go mobile app remain the best way to check the status of a refund. “Where’s My Refund?” will be updated with projected deposit dates for most early EITC and ACTC refund filers on Feb. 17, so those filers will not see a refund date on “Where’s My Refund?” or through their software packages until then. The IRS, tax preparers, and tax software will not have additional information on refund dates. These filers should not contact or call about refunds before the end of February.
Reform References
With major changes made by the Tax Cuts and Jobs Act, the IRS encouraged taxpayers seeking more information on tax reform to consult two online resources: Publication 5307, Tax Reform: Basics for Individuals and Families, and Publication 5318; Tax Reform What’s New for Your Business. For other tips and resources, visit IRS.gov/taxreform or check out the Get Ready page on IRS.gov.
Sounds like fun reading, right?
April Deadline
The filing deadline to submit 2018 tax returns is Monday, April 15, 2019, for most taxpayers. Because of the Patriots’ Day holiday on April 15 in Maine and Massachusetts and the Emancipation Day holiday on April 16 in the District of Columbia, taxpayers who live in Maine or Massachusetts have until April 17 to file their returns.
New Form 1040
Form 1040 has been redesigned for tax filing season 2019. The revised form consolidates Forms 1040, 1040A and 1040-EZ into one form that all individual taxpayers will use to file their 2018 federal income tax return.
The new form uses a “building block” approach that can be supplemented with additional schedules as needed. Taxpayers with straightforward tax situations will only need to file the Form 1040 with no additional schedules. People who use tax software will still follow the steps they’re familiar with from previous years. Since nearly 90 percent of taxpayers now use tax software, the IRS expects the change to Form 1040 and its schedules to be seamless for those who e-file.
Getting Real — Tax filing season 2019
You could read all of the new tax code changes in your spare time (it might make for fantastic reading material at bedtime—especially if you need to fall asleep FAST). Or you can schedule an appointment with one of our experienced tax accountants today! The Profit Wise team is up-to-date on the tax code changes. We are here to help you save time and money. Call us today! 256.489.1478 or schedule an appointment below.
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