Important Tax Filing Dates for 2021
A new year is here, and many Americans will be marking their calendars for weddings, graduations, and holidays. In addition to these special events, you should also take note of the important tax filing dates this year – especially due to the ever-uncertain nature of our modern times.
February 12, 2021: IRS Begins 2021 Tax Season
On January 15th, the IRS announced that the nation’s tax season will start on Friday, February 12th, 2021. What this means is that the IRS will begin accepting and processing 2020 tax year returns. Typically, this date is in January but, the IRS moved it because of the massive backlog they are currently experiencing.
April 15, 2021: Deadline for Filing 2020 Tax Returns
Last year, the tax filing deadline moved from the historic April 15th date to July 15th. However, this year (as in 2021), the deadline for filing 2020 tax returns is scheduled on the standard date of April 15th.
October 15, 2021: Tax Extension Deadline
For those who have requested an extension on their 2020 tax returns, their deadline to file their taxes is October 12th, 2021. If you think that you will need extra time to file your taxes, and have not yet applied for the extension, fill out and submit Form 4868 before April 15th, 2021.
The faster you submit your request for an extension, the better. Should anything go wrong with the application (i.e., misfiling or lost in transit), you will still have time to rectify any mistakes before April 15th.
A point of clarification about the extension deadline; the extension does not give you more time to pay your taxes – it only gives you more time to file your tax return. If your tax bill is already outstanding, you will accrue more interest.
While you will still have to pay your taxes by national Tax Day (April 15th), there are advantages to applying for a tax extension.
- Gain an extra six months to file your taxes, or four if you are out of the country.
- Reduce late penalties.
- Decrease the likelihood of getting audited.
If you pay estimated taxes, the tax filing dates can be a little tricky. Estimated taxes are paid quarterly or monthly on Form 1040-ES and include self-employed workers, those who earn money from tips, and contractors.
Unsure if you need to pay estimated taxes? Think of it this way: if no tax is taken out of your paycheck before receive it, then you need to pay estimated taxes.
Important Dates for Estimated Taxpayers
For those who are self-employed, farmers, or fishermen, their estimated taxes are due quarterly.
- First-quarter payments are due April 15th
- Second-quarter payments are due June 15th
- Third-quarter payments are due September 15th
- Fourth-quarter payments are due January 15th
For those who earn tips, their estimated taxes are due monthly.
- January 11th
- February 10th
- March 10th
- April 12th
- May 10th
- June 10th
- July 12th
- August 10th
- September 10th
- October 12th
- November 10th
- December 10th
Additional Tax Related Dates This Filing Season
The IRS recommends that taxpayers tax note of these additional tax-related dates.
- January 29th, 2021:Earned Income Tax Credit Awareness Day raises awareness of valuable tax credits available to many people – including the option to use the prior-year income to qualify.
- February 22nd, 2021:Where’s My Refund tool will be uploaded to IRS.gov and can be used by those claiming EITC and ACTC, also referred to as PATH Act returns.
- The first week of March: Tax refunds begin reaching those claiming EITC and ACTC (PATH Act returns) for those who file electronically with direct deposit and there are no issues with their tax returns.
Each year, millions of Americans do not file their taxes on time, which is nothing to be ashamed of – nevertheless, the consequences can be detrimental to your finances. Be sure to use these five tips to stay on top of your taxes this year.
If you are currently experiencing tax debt because of missed filing years, use the link below to check potential tax relief options. Or feel free to get in touch with one of our tax professionals as well.
Any new or systemic Liens and/or Levies will also be suspended for the time being.
For taxpayers who are considered “seriously delinquent”, the IRS will suspend any new certifications for the remaining period. Any taxpayer who falls into this category in reminded and encouraged to enter into an Installment Agreement or apply for an Offer In Compromise.
The IRS will not forward any new delinquent accounts to private collection agencies at this time.
Taxpayers have until July 15, 2020 to verify to the IRS they are qualify for the Earned Income Tax Credit or to confirm their income. If the taxpayer is unable to verify their credentials or provide appropriate documents for this credit, they are encouraged to notify the IRS before the deadline. No cases will be denied this credit for failure to provide requested information until July 15.
Case workers will continue business as usual. However, most case work will be conducted remotely (video/over the phone conferences). Any requests for documentation sent by the Office of Appeals should be responded to in a timely manner to ensure a smooth process.
The IRS will continue to take the appropriate measures to stay compliant and protect the applicable statutes of limitations. In situations where certain statutes may be compromised, taxpayers are encouraged to extend such statutes. Otherwise, Notices of Deficiency will be issued by the IRS and similar actions will be pursued to protect the interests of the government in preserving such statutes. Where a statutory period is not set to expire during 2020, the IRS is unlikely to pursue the foregoing actions until at least July 15, 2020.
Practitioners are reminded that PPS wait times may be significantly longer, depending on staffing levels and allocations going forward. The IRS will continue to monitor this as situations develop.
“The IRS will continue to review and, where appropriate, modify or expand the People First Initiative as we continue reviewing our programs and receive feedback from others,” Rettig said. “We are committed to helping people get through this period, and our employees will remain focused on these and other helpful efforts in the days and weeks ahead. I ask for your personal support, your understanding – and your patience – as we navigate our way forward together. Stay safe and take care of your families, friends and others.”
Learn how easy it is to qualify for tax savings.