Due to the economic turmoil surrounding the COVID-19 pandemic, last year’s tax deadline was postponed until July 15. This year’s postponement is to give taxpayers and tax filers extra time to tackle ongoing tax issues that will continue a year later.
“This extension is absolutely necessary to give Americans the flexibility they need in times of unprecedented crisis,” said Bill Pascrell, Jr. Democratic Party Representative in New Jersey and Richard Neil, Massachusetts. He is also the chair of the Houseways and Means Subcommittee. About monitoring. “Under immense stress and tension, American taxpayers and tax filers must have more time to file their tax returns.”
The delay may also be related to the 2019 submission backlog that the IRS is still facing. Like most office workers, many IRS employees had to work from home. I didn’t have access to paper returns and was waiting in the trailer. By the end of January, approximately 6.7 million returns had not been processed.
The IRS currently faces at least two major challenges beyond the processing of tax returns in 2020 (and 2019). The agency is in the process of sending about 150 million stimulating checks. The US Rescue Planning Act, recently signed by President Biden, provides for these payments as part of the historic $ 1.9 trillion stimulus package. It also includes a major revision of the child tax deduction. The law requires regular payments to parents from July. Execution of these payments is still in the planning stage.
The looming extension of federal taxes does not necessarily mean that states will follow suit. Only taxpayers in two states are delaying the deadline. Maryland is July 15th. The victims of the Texas winter storm are until June 15. In some other states, dates were already scheduled later than the original April 15.
State taxpayers who do not change the deadline can effectively postpone the taxpayer until the original April 15 deadline. An individual’s adjusted total income or federal taxable income is often the basis for calculating state taxes.
IRS tax filing deadline postponed to May 17 – CBS Pittsburgh
Source link IRS tax filing deadline postponed to May 17 – CBS Pittsburgh