Detroit Free Press
Get ready for one unruly tax season where many filers will face longer tax refund delays, the rules of the game for key credits have changed, and many remain angry about stimulus checks and tax refunds from last year that never showed up.
Don t you love taxes?
While plenty of tax professionals are open for business now to prepare your 2021 tax return, the Internal Revenue Service will not kick off the season until Feb. 12, when the IRS will begin processing returns. That s slightly more than two weeks later than last year. And it s more than three weeks later than several years ago.
The Internal Revenue Service is urging taxpayers to begin getting documents ready for tax season, saying that organizing tax records is an important first-step in getting ready file returns.
Blog Home > Taxes > Important Tax Document Enclosed: 4 Tax Forms to Watch Your Mailbox For
Important Tax Document Enclosed: 4 Tax Forms to Watch Your Mailbox For Published March 23, 2021 | 8 min. read
Christine DiGangi Christine DiGangi is the former Deputy Managing Editor - Engageme. Read More
Update
: Due to the pandemic, the IRS has extended the tax deadline for the 2020 tax year from April 15, 2021 to May 17, 2021. This only applies to individual federal income returns and tax payments, not a state’s income tax deadline, including state payments or deposits.
It’s the most wonderful time of the year time to receive your tax documents!
Under the CARES Act passed in March, jobless people received $600 on top of their weekly state benefits. The new legislation pays $300 a week.
Unemployment insurance is a joint state-federal program. If you re getting benefits from either during this time, it counts as income in the eyes of the IRS.
Are unemployment benefits taxed?
Yes, you have to report any unemployment compensation you receive on your federal tax return and potentially your state return as well. The money will ultimately be included in your gross income and taxed at your ordinary income rate.
You do, however, have a choice of how you d like to pay the tax you owe either through withholding or estimated quarterly payments.