Tax return backlog is ‘crushing the IRS’ as pileup exceeds 21 million

IRS Commissioner Chuck Rettig testifies before the Senate Finance Committee on April 7, 2022. Kevin Dietsch | Getty Images News | Getty Images The IRS backlog of tax returns has swelled over the past year, despite efforts to clear the pileup, according to an agency watchdog. There were 21.3 million unprocessed paper returns as of … Read more

IRS making progress on backlog, but millions remain unprocessed

Charles P. Rettig, commissioner of the Internal Revenue Service, testifies during the Senate Finance Committee hearing titled The IRS Fiscal Year 2022 Budget, in Dirksen Senate Office Building in Washington, DC, June 8, 2021. Tom Williams | Pool | Reuters The IRS is making progress on its backlog of unprocessed tax returns, but millions remain, … Read more

IRS boosts mileage rate deductions as gas prices soar to $5 a gallon

Guy Benhamou sends a picture of gas prices to friends while pumping gas at an Exxon Mobil gas station on June 9, 2022 in Houston. Brandon Bell | Getty Images If you’re self-employed or own a small business, you may soon be eligible for a little relief from soaring gas prices. Starting on July 1, … Read more

The last chance for some tax filers to avoid late penalties is June 15

courtneyk | E + | Getty Images This week is the last chance to bypass a tax penalty if you’re earning money and the IRS still hasn’t received its share, according to the agency. While some employees pay taxes through withholdings, everyone else must make a second-quarter estimated payment by June 15 – and you’re … Read more

House Democrats push for repeal of rule blocking SALT cap workaround

Rep. Tom Suozzi, DN.Y., speaks during a news conference announcing the State and Local Taxes (SALT) Caucus outside the US Capitol on April 15, 2021. Sarah Silbiger | Bloomberg | Getty Images Three House Democrats are still pushing for relief on the $ 10,000 limit on federal deduction for state and local taxes, known as … Read more

Still missing your tax refund? You’ll soon receive 5% interest

Bill Oxford | E + | Getty Images If you’re still waiting for a tax refund, there’s a silver lining: it may be accruing interest, and the rate jumps to 5% from 4% on July 1, according to the agency’s latest quarterly adjustment. Typically, the IRS has 45 days after the filing deadline to process … Read more

The IRS has sent more than 78 million refunds. How to check on yours

If you filed a last-minute tax return, you may see your 2021 refund faster than you’d expect. Nine out of 10 refunds have arrived within 21 days this season, according to the IRS. As of April 15, the agency has issued more than 78 million refunds worth over $ 242 billion in total, and the … Read more

There’s another sneaky tax deadline on April 18. How to avoid a penalty

Prathanchorruangsak | Istock | Getty Images With one week left to file your federal taxes, it’s easy to overlook another sneaky deadline: the due date for first-quarter estimated tax payments. If you have income from self-employment, a small business, gig economy work, investments and more, you must make a payment by April 18. You need … Read more

There’s a growing interest in wealth taxes on the super-rich

Late. Ron Wyden, D-Ore., Speaks during a Senate Finance Committee nomination hearing on Feb. 23, 2021. Greg Nash | Pool | Reuters Americans increasingly favor a wealth tax on the ultra-rich. But despite an uptick in proposals, these policies have struggled to gain traction. President Joe Biden in March unveiled the latest federal wealth tax … Read more