Review Of 2021 Tax Deadline 2023

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2021 Tax Deadline: Everything You Need to Know

Introduction

The deadline for filing taxes for the year 2021 is fast approaching, and it's essential to be aware of all the necessary information to avoid any last-minute hassle. Whether you're an individual taxpayer, self-employed professional, or a business owner, you need to file your tax returns before the deadline to avoid paying any penalties or interest.

Who Needs to File Tax Returns?

Every person or entity that earns an income in the United States is required to file tax returns, regardless of whether they're a citizen, resident, or non-resident alien. This includes individuals, partnerships, LLCs, S-corporations, C-corporations, and trusts.

Important Dates to Remember

The deadline for filing tax returns for the year 2021 is April 15, 2022. However, if you're a resident of Texas, Oklahoma, or Louisiana, you have until June 15, 2022, to file your tax returns due to the winter storm disaster in February 2021.

Penalties for Late Filing

If you fail to file your tax returns by the deadline, you'll be charged a penalty of 5% of the unpaid taxes for each month that the return is late. The maximum penalty can go up to 25% of the unpaid taxes. Therefore, it's crucial to file your tax returns even if you can't pay the taxes at the time of filing.

Ways to File Tax Returns

Taxpayers can file their tax returns using various methods, including e-filing, paper filing, or hiring a tax professional. E-filing is the most convenient and fastest way to file tax returns, and it's free for taxpayers who have an adjusted gross income of $72,000 or less.

Documents Required for Filing Tax Returns

Before filing your tax returns, ensure that you have all the necessary documents, including W-2s, 1099s, and other income-related documents. You'll also need to provide details of any deductions or credits that you're eligible for, such as charitable donations, health insurance premiums, or business expenses.

Changes to Tax Laws in 2021

The IRS has made several changes to the tax laws for the year 2021, including the standard deduction and tax brackets. The standard deduction for individuals has increased to $12,550, while the tax brackets have been adjusted for inflation.

Tips for Filing Tax Returns

To avoid any errors or mistakes while filing tax returns, follow these tips: - Double-check all the information provided in the tax returns. - Use tax software or hire a tax professional for filing tax returns. - Keep all the necessary documents organized and in one place. - Be aware of all the tax deductions and credits that you're eligible for.

Conclusion

Filing tax returns can be a daunting task, but with the right information and preparation, it can be a smooth process. Make sure to file your tax returns before the deadline and avoid any penalties or interest. If you need any assistance, don't hesitate to seek help from a tax professional.

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