Tag Archives: Tax season

All You Need to Know About the 2021 Tax Extension

 

If you haven’t started on your tax return, don’t worry! The IRS has officially announced that they are pushing back the tax return deadline this year to May 17, 2021, due to the ongoing pandemic. If you have questions regarding this year’s tax extension, let us help!

The Answers to All Your Tax Extension Questions

1.      Why Has the Tax Deadline Been Extended?

Due to the COVID-19 pandemic, the IRS has made the decision to extend this year’s federal income tax filing deadline for an extra month. This tax extension is to give taxpayers enough time to file and make payments, without interest or penalties. Since this tax season is guaranteed to look different, there are a few extra steps you need to take that will make the tax return process longer, including:

  • Reporting Unemployment Benefits and PPP Loans
  • If you received or didn’t receive your stimulus check(s)
  • Claiming Charitable Donations

2.      Who Does the Tax Extension Apply to?

This year’s tax extension applies to individual taxpayers and individuals who pay self-employment taxes. This means that if you owe money or need to submit your tax return, you don’t need to until May 17, 2021. Taxpayers don’t need to file any forms to qualify for this tax extension.

3.      What Doesn’t Appy to the Tax Extension?

Unfortunately, businesses and quarterly estimated tax payments do not apply for this year’s tax extension. The first quarterly tax payment for businesses this year is still due on April 15, 2021. Also, the May 17th income tax extension only applies to your federal taxes, not state taxes.

4.      What You Should Do Before the Deadline?

Some steps to take before you file for your return are to make sure all tax documents are in order, decide if you need to hire a tax professional and make a plan for your tax return.

If you’re behind on filing your taxes this year, you have some extra time to make sure you’re prepared for the deadline. It’s not too late to hire an accountant! Allow the tax professionals at Calabrese & Associates, P.C. to help you this tax season. Contact us today with any questions or concerns you may have.

In Need of Tax Return Help?

Filing for your tax return can be a confusing and stressful experience for many taxpayers, especially during the uncertain times we are living in. Many factors make the tax return process challenging, including your tax filing status, age, and income. If you’re looking for tax return help, we’ve got the tips you need!

5 Tax Return Help Tips

1.      Gather Important Documents

Before you can begin filing for your tax return, you will need to gather proof of income, expenses that can be deductible, and important tax forms. Creating a checklist is a great way to stay organized during tax season. The documents you should have on hand include:

  • Social security numbers
  • W-2 Form
  • Charitable donations
  • 1099 Form
  • Retirement account contributions
  • Last year’s state and federal tax returns

2.      Decide How to File for your Tax Return

There are different ways to file for your tax return. You can either hire a tax professional or fill out your forms by hand and mail it out.

3.      Keep an Eye on Deadlines

No matter who you are, life can get busy. However, as a taxpayer, you need to be on top of tax due dates since the IRS has been changing and postponing deadlines. This year’s tax deadline has been moved to May 17, 2021. Business owners are required by the IRS to pay quarterly tax payments, so make sure to know which deadlines apply to you.

4.      Hire an Accountant

Whether you’re having trouble getting started or just need tax return help, an accountant can assist you or your business every step of the way. A tax professional will help you with tax planning and preparation and make sure all tax forms are filled out correctly so they can be submitted on time.

5.      What to do With Your Refund

It can take a few weeks for your tax refund to process, but once you receive it there are a few things you might want to do with it:

  • Pay off debt
  • Send it to savings
  • Putting it in your retirement funds
  • Invest in the stock market

 

If you need tax return help, hiring an accounting professional may be exactly what you or your business needs. Calabrese & Associates, P.C. is a local accounting firm that will make sure all your financial needs are met. For more information, visit our website.

What are the 2021 Tax Deadlines?

The IRS has officially pushed back this year’s tax filing season due to the ongoing coronavirus pandemic. Taxpayers need to be aware of tax due dates and filing deadlines to avoid being hit with late penalty fees. Read on to find out more about the 2021 tax deadlines. 

2021 Tax Deadlines

1.      Individual Tax Return

The official deadline to file for your 2020 individual tax return has been postponed to May 17, 2021. If you requested a tax return extension, and it has been approved your new deadline for your federal income tax return is still October 15, 2021.

2.      Corporation Tax Returns

Depending on the type of corporation you have, your 2021 tax deadlines will be different. C-corporation and S-corporation tax returns run on the calendar year.

  • The IRS Form 1120 for C-corporations are always due on the 15th day of the fourth month of a corporation’s fiscal year. This year it falls on April 15, 2021, and the extended deadline is October 15, 2021.
  • The IRS form 1120-S for S-corporations was due March 15, 2021, but if you filed for an extension you have until September 15, 2021.

3.      Quarterly Tax Return Deadlines

For taxpayers who are independent contractors, self-employed, or received an income from other than payroll, you are required to make quarterly tax payments. This year’s quarterly 2021 tax deadlines include:

  • April 15, 2021
  • June 15, 2021
  • September 15, 2021
  • January 17, 2022

What Happens if you Miss a Deadline?

If you miss a tax deadline, you will most likely be hit with a late penalty fee or an extra interest charge. It’s important to submit all tax documents and any taxes you owe as soon as possible. The penalty for filing your 1040 form late is five percent of the tax due that month and an extra five percent every month after that. If you can’t afford your tax bill, make sure to pay as much as you can.

2021 tax deadlines will be here before we know it. If you need financial assistance this tax season or just have a few questions, the team at Calabrese & Associates, P.C. is here to help! Contact us today to get started.

 

Why You Need an Accountant Now More than Ever

Have you started filling out your tax return yet? If the answer is no or if you’re having trouble getting started, you may need an accounting professional. With the tax return deadline approaching in only a few weeks, you must have all your tax forms and documents in order before the deadline. Find out why you need an accountant.

Why you Need an Accountant for the Upcoming Tax Season

This tax season is guaranteed to look different than last year’s due to people claiming missing stimulus checks, having to file your stimulus check, and many people filing for unemployment – this is why you need an accountant. Accountants are equipped to assist clients with all of these new tax forms and documentation.

Benefits of an Accountant

1.       Helps File Individual Income Tax Return

If you need assistance with your tax preparation and planning, you need an accountant! Accountants will know exactly which forms you need to be filling out and they’ll make sure they are filled correctly and on time to avoid late penalties.

2.       Assists Business Owners

Filing your business tax return for the first time as a business owner can be confusing and complicated. Business owners need to file for taxes quarterly and have more documents to fill out compared to individuals. Accounting professionals will make sure business owners file each quarter and prevent you from making costly mistakes.

3.       Efficient and Timely

An accountant will be on top of tax due dates and ensure all forms are submitted on time so you don’t have to worry about missing deadlines. They will be thorough when going through each document to see if you are missing any important information.

4.       Saves Money

When it comes to tax returns, we all hope that, in the end, we receive some money back and save on costs. An accounting professional will know to write off any deduction you qualify for and do what they can to help you save as much as possible.

In need of an experienced and skilled accounting team to guide you through tax season this year? The accounting professionals at Calabrese & Associates, P.C., are exactly what you need. Visit our website today to schedule your consultation!