Inflation has hit people hard in the wallet, and making ends meet is getting more and more difficult for many people. For many people, getting tax returns filed as soon as possible is important because it means that they'll get any tax refund that they're owed a little bit faster than if they wait until later to file.
Each year, the Internal Revenue Service announces when it will start accepting tax returns for the tax year that just ended. The announcement for the 2022 tax year just came out, and the IRS said that it has dubbed Monday, Jan. 23, 2023 as the official beginning date for tax season. That's consistent with past practice, and it gives taxpayers a bit of time to get their financial records ready so that they can get their returns filed as soon as possible.
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Trying to get back to normal
Over the past three years, the COVID-19 pandemic has dramatically affected IRS operations. Yet with the passage of the Inflation Reduction Act in August 2022, the tax agency was able to add a large number of in-person staff members to help taxpayers, including more than 5,000 new representatives to take phone calls and answer questions.
The IRS anticipates that taxpayers will file more than 168 million individual tax returns. Because April 15 is on a Saturday and because the following Monday is an officially recognized holiday in the District of Columbia, the filing deadline for the 2022 tax year will be April 18, 2023.
Some tips to keep in mind
For those who are trying to get their taxes filed quickly, there are a number of things to remember. First and foremost is that it doesn't make sense to try to file your return before you have all the necessary documentation. That includes a W-2 form from your employer that documents your job earnings, as well as various 1099 forms to cover things like interest, dividends, capital gains, and various forms of miscellaneous income. If you don't have those forms when you file, you can end up providing erroneous information that will only force you to go to the extra work of filing an amended return.
In addition, you don't need to wait in order to figure out how you're going to get your taxes done. If you want to hire a tax preparer to work on your return, the sooner you line a professional up, the better. Often, tax prep professionals get booked up early in tax season, making it nearly impossible to find someone to give you the help you need in timely fashion. If you don't need live help but plan to use tax software to get your return done, major service providers are already offering subscriptions for the 2022 tax year. You can take the time to input things like personal information so that when your financial numbers come in, you'll be ready just to plug them in and get moving.
Factors that can affect when you get your refund
No matter how early you file your return, you shouldn't expect to get your tax refund instantaneously. In fact, there are some factors that can delay your refund, while others can accelerate your getting it.
Filing your returns electronically is the best way to ensure that your tax return is accurate and gets processed without delay. The electronic filing process typically finds common problems during the submission process, such as like math errors or failing to sign your return. When made on paper returns, those problems can cause costly delays. Moreover, by putting in direct deposit information along with your return, the IRS will be able to get your refund to you more quickly than if it has to cut a paper check.
Unfortunately, those who are eligible for certain popular tax credits have to wait longer on getting their refunds. Under a 2015 law, the IRS isn't allowed to issue a refund to taxpayers who receive the earned income tax credit or the additional child tax credit until mid-February. The law was in part a response to taxpayer abuse of those provisions, but the IRS still thinks it can get most refunds to taxpayers by Feb. 28 for those using direct deposit.
File your taxes on your timeline
Just because Jan. 23 is the official start of tax season doesn't mean you have to be first out of the gate to file. By waiting until you have all the forms you need but taking steps along the way, you'll give yourself the best chance of getting a timely tax refund without any complications.
