We wanted to get to know Kajli Prince (NAIWE’s Tax Expert) better, so last month we sat down with him. Here are some thoughts he shared with us.
Why does it seem like tax season is open earlier this year?
The tax season is likely starting early so the IRS can start dealing with the processing of tax returns of taxpayers who received the third stimulus payment, or those of taxpayers who received the advanced child tax credit. These monies are NOT taxed, but the IRS has to check all the amounts reported on each return before it can be processed. This added step accounted for the reason why a lot of taxpayer 2020 returns were processed late due discrepancies in the reporting of the first and second stimulus payments.
Why has the tax filing deadline changed from April 15th?
The filing deadline is April 18, 2022, (for most taxpayers) because of the Emancipation Day holiday in the District of Columbia for everyone except taxpayers who live in Maine or Massachusetts. Taxpayers in Maine or Massachusetts have until April 19, 2022, to file their returns due to the Patriot Day holiday in those states. Taxpayers requesting an extension will have until Monday, October 17, 2022, to file.
What will delay the tax refund?
There are certain credits that may delay a taxpayer’s return from being processed. These include the child tax credit or, more likely, the additional child tax credit. The earned income credit is also notorious for delaying the processing of a taxpayer’s return. And, referring back to the first question, if you received any stimulus payment, not accurately reporting the amount received will likely delay the tax refund (assuming the taxpayer is due a refund).
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As if taxes are not confusing enough as it is. Since COVID, however, Kajli Prince has found that his clients are more confused than ever about what to expect at tax time. In this webinar, Prince will share some of the most frequently asked questions that he has been asked over the past two years (since COVID came to visit). In past webinars, he has been keen on sticking to small business matters. However, for this year’s webinar, he plans to discuss issues like (advanced) child tax credit payments, stimulus payments, as well as how to avoid paying a tax penalty on “coronavirus-related” retirement distributions.
You can join in this conversation on February 24, at 7:00 pm eastern, when NAIWE will host a discussion on taxes, credits, and stimulus payments. The cost for NAIWE members is only $10! Non-members can join for $30. Register today!
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