Due to the coronavirus, which has caused widespread job losses and pushed millions into poverty, the IRS has moved the 2020 federal tax filing deadline to July 15, to give taxpayers extra time to file.
Extension this yearcan affect more than just your federal tax return. With tying by Congress on this year’s tax forms, and in some cases to determine the amount of Delaying the federal tax return deadline can have a significant impact on your financial situation. Here’s what we know about this year’s tax day and how the rollback might affect you.
What exactly did Congress ask the IRS to do about this year’s tax term?
On Feb. 18, the House Ways and Means Committee sent a letter to the IRS urging the agency to delay the deadline for filing your tax returns from April 15 this year.
The letter did not suggest a specific new due date to file federal taxes, but it did point out that the IRS has moved the 2019 tax deadline by three months to July 15 due to the coronavirus. The commission urged the IRS to extend the tax filing season again this year, “to allay unnecessary fear of taxpayers and practitioners.”
The IRS has not publicly responded to the committee’s request. CNET has contacted the IRS for comment.
How would a new tax deadline affect the third stimulus check?
Since stimulus payments and, shifting the tax date would affect the
First, Congress is proposing to use the IRS, if processed, when it determines the amount you put into your In particular, the IRS would look into the , on your 2020 form to help calculate your payment, using a But the tax authorities would use your 2019 tax return if you had not yet submitted your 2020 tax return. This could work to your advantage if your income from 2019 was lower than your income from 2020. If your tax return for 2020 were to do so , Like you , you would like to file an application as soon as possible, so the IRS will process your taxes for 2020 before it is released
Postponement of the tax term would do that, but then again, it would also mean you should any missing incentive money, and if there is a difference between your 2019 and 2020 taxes, you should wait
What would a new tax deadline mean for your missing incentive money?
Your federal tax returns this year are also how you get back all the money the IRS owes you from the first twoIf you have not received payment or received less than you were , you can as a discount credit when you submit an application this year. – those who normally do not have to file a tax return. If you wait to file your taxes closer to a new, later due date, so are you , which is bundled
If the IRS is delaying the filing due date, could you delay paying your taxes too?
like you, that gives you more time to fill out your paperwork and send it to the IRS. But that won’t get you off the hook for any taxes you owe. Whether it’s April 15th or a later date, or you are also responsible for paying any interest accrued on the amount, plus a penalty for late payment.
Would your state’s expiration date also change?
Last year, all states that collect income taxes shifted their filing deadlines to about July 15, 2020, the federal tax deadline, according to the American Institute of CPAs. If the IRS postpones the filing deadline again this year, we expect states to follow suit.
For more details on taxes this year, we spell theand when you file your taxes.