As tax season approaches, we wanted to reach out and share a few important dates and deadlines for 2023.
Please see the important dates below and keep an eye on your inbox next week. We will be following up to share some critical information regarding the coming tax season along with some key improvements we have made to serve you better in 2023.
January 23rd is the date that the IRS will re-open its e-file system. This means that even if you have all your W2s and tax documents, and you submit your tax return, the IRS will not receive and process your return prior to January 23rd.
The IRS expects most electronically filed tax returns to be processed within 21 days. The IRS urges taxpayers to file their tax returns electronically, for security purposes as well as for processing reasons. A manually filed paper tax return is expected to be processed in 6-8 weeks, but could take much longer per the IRS.
It is important to keep in mind that these guidelines are for standard tax returns that do not require manual review. From an IRS audit back in October, approximately 9.6 million returns are still waiting to be processed from the 2021 filing season.
This is the deadline that your employer must send you your W-2 for tax reporting purposes. In addition, most form 1099s are required to be issued by this deadline, with the major exception being financial institutions mailing out Form 1099-Bs for stock, bond, or mutual fund transactions in a taxable trading account.
This is the deadline for financial institutions to send out Form 1099-B to anyone with a taxable trading account with gains or losses in the account. Note that for tax year 2022, cryptocurrency exchanges will be not be required to issue 1099-Bs. This does not change the fact that cryptocurrency activity is still required to be reported on your return. Starting in 2023, exchanges will issue 1099-Bs as part of the 2021 infrastructure bill passed by Congress.
March 15th is the tax filing deadline for partnerships and S-Corporations to file their tax returns, or to request a 6-month extension of time to file the returns. This group includes S-Corporations, as well as LLCs that have elected to be taxed as a corporation.
Potentially the single most important date is April 18th, the tax filing deadline for individuals, trusts, gift taxes, C-corporations, and reporting of foreign bank and financial accounts (FinCEN 114). Because April 15th falls on a weekend this year, the tax filing deadline is pushed back to the next available day, Tuesday April 18th (Monday the 17th is Emancipation Day, a DC Holiday that is recognized federally).
Additionally, this is the deadline to request an extension to receive an additional 6 months to file your return. It is important to note, an extension to file your tax return is not an extension to pay your tax due. If you file an extension and wait to pay any tax due by October 16th, you will have late interest and penalties accruing on your amount due.
For IRA, Roth IRA, and HSA contributions, April 18th is also the deadline to make contributions that count toward tax year 2022. Note that SEP IRA contributions are allowed to be made at the extended tax filing deadline.
Finally, April 18th is also the deadline to pay your first quarter estimated tax payments for the 2023 tax year.
Second quarter estimated tax payments for 2023 are due by June 15th.
September 15th is the first extension season deadline dates. Partnership and S corporation returns are due on September 15th, 2023. This is also the deadline to submit the third quarter estimated tax payments for 2023.
The extended due date for trust returns is September 30th, assuming they correctly filed an extension by April 18th.
October 16th is the deadline to file individual and corporate tax returns. Any returns filed past this date, even if they were extended in April, will be subject to failure-to-file penalties.
To get started on your 2022 tax returns, or if you have questions about the deadlines, click here to schedule a meeting with us.
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