WASHINGTON ― The Internal Revenue Service confirmed that the nation’s tax season will start for individual tax return filers on Monday, Jan. 27, 2020, when the tax agency will begin accepting and processing 2019 tax year returns.
The deadline to file 2019 tax returns and pay any tax owed is Wednesday, April 15, 2020. More than 150 million individual tax returns for the 2019 tax year are expected to be filed, with the vast majority of those coming before the traditional April tax deadline.
“As we enter the filing season, taxpayers should know that the dedicated workforce of the IRS stands ready to help,” said IRS Commissioner Chuck Rettig. “We encourage taxpayers to plan ahead and use the tools and information available on IRS.gov. The IRS and the nation's tax community are committed to making this another smooth filing season."
The IRS set the Jan. 27 opening date to ensure the security and readiness of key tax processing systems and to address the potential impact of recent tax legislation on 2019 tax returns.
While taxpayers may prepare returns through the IRS’ Free File program as well as many tax software companies and tax professionals before the start date, processing of those returns will begin after IRS systems open later this month.
“The IRS encourages everyone to consider filing electronically and choosing direct deposit,” Rettig said. “It’s fast, accurate and the best way to get your refund as quickly as possible.”
Filing electronically flags common errors and prompts taxpayers for missing information.
Taxpayers can get free help preparing and filing taxes through IRS Free File online or free tax help from trained volunteers at community sites around the country. The IRS also reminds taxpayers that they don’t have to wait until Jan. 27 to start their tax return or contact a reputable tax preparer.
In addition, IRS tax help is available 24 hours a day on IRS.gov, the official IRS website, where people can find answers to tax questions and resolve tax issues online. The Let Us Help You page helps answer most tax questions, and the IRS Services Guide links to these and other IRS services.
Of course, even if High School math did teach taxes, by the time you needed to use it the tax laws will have changed... a lot.
High School Math would NOT:
When you do your own taxes, you may just get it done, which is OK. But, as AT&T commercials are showing, "Just OK is not OK"
Reminder to those with clients paying the current minimum wage, the state minimum wage is going up to $9.25 as of 1/1/20 ($5.55 for tipped workers)
In conjunction with this the state has created a Minimum Wage Credit for those small companies (less than 50 full-time equivalent employees) that are moving employees up to $9.25 at the start of the year. FY2020-13, attached, goes over the details but it boils down to this: The state will give employers a credit for the difference between each employee’s old pay rate and the new minimum wage for every employee that was below minimum wage. So employees going from $8.25 to $9.25 will generate a withholding credit of 25% of the difference of $1.00 on their actual earnings each quarter. I presume tipped workers increasing to the new tipped minimum wage also qualify. If you pay more than the minimum wage, you still only get a withholding credit up to the minimum wage.
There are still open questions on this. I don’t know how the Cook Co & City of Chicago minimum wages play into this.
Also at the federal level, the minimum salary to be permitted to be exempt from overtime is increasing from $455 per week (or $23,660 annually) to $684 per week (or $35,568 annually) as of 1/1/20. Employee’s must still meet the duties test to be considered truly exempt from overtime.
In true blog fashion, the last parts are at the top of the page. Scroll all the way down and work your way back up to read them in order.
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