Many taxpayers might be feeling pressured to file their income tax returns as the current tax season draws to a close in less than two weeks. Generally speaking, filing taxes is a simple process, especially if you work.
However, it gets more complicated if you have many sources of income, get money from federal programs, or are a freelancer with irregular revenue.
The tax deadline for one set of people in this state has been extended to November.
Who is required to submit their taxes?
Since your employer deducts the taxes you due from your paycheck each month, many people think the tax system is unnecessary, especially if they are employees.
This tax amount, however, does not always match the amount you owe the IRS.
In the event that you have overpaid your tax liability, you are filing for a refund when you file your taxes during tax season.
Filing your taxes is required by the federal government, even though not everyone receives a refund.
Furthermore, paying taxes reveals to the IRS where you receive your income and if you have paid the necessary taxes from that asset or source of income. Not everyone has a single source of income from their employer.
You are required to submit a tax return for this year if you are under 65 and your gross income exceeds $14,600.
You can still be required to file taxes even if your income is below this amount. In order to demonstrate to the IRS that they are eligible for a certain tax credit depending on their income status, applicants must file their taxes.
In essence, filing a tax return is a correspondence between you and the IRS that lists all of your income from a single fiscal year, together with information on whether you need a refund, tax credit, or additional tax payments.
The IRS has extended this state’s tax deadline
The deadline for this year’s tax season is April 15, 2025. To move the deadline to October 15, you can file for an extension on the IRS website.
You can also change your return after this deadline if you make a mistake. If there are errors in your return that need to be fixed, the IR will also get in touch with you.
You will be assessed a Failure to File penalty if you fail to file your taxes on time. For each month that your return is late, you will be assessed a penalty equal to 5% of your outstanding taxes, up to a maximum of 25% of your unpaid taxes.
In order to avoid accruing penalties and interest that exceed your financial means or, in the worst case scenario, avoiding incarceration for nonpayment, you should always file your taxes even if you are late.
But according to an IRS official statement, West Virginia residents impacted by the extreme weather that began on February 15 of this year now have an extended tax deadline of November 3.
But it’s crucial to remember that this deadline only applies to homes in the impacted areas, not to all West Virginians.
Are Social Security taxes to be prohibited?
The process for filing income taxes has not changed significantly, but there has been discussion about Social Security taxes.
According to President Trump, taxes on your Social Security income ought to be prohibited. Under certain conditions, the IRS can currently charge 85% of your Social Security tax.
It has been pointed out that the top 0.1% of incomes, or those making over $5 million, would be the only ones to gain from the removal of this tax.
This information has been sourced from ecoticias.
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