US Tax Season Begins

by Mike Godfrey, Tax-News.com, Washington

22 February 2021

The Internal Revenue Service launched tax season for individuals on February 15, 2021, highlighting the various supports available for taxpayers when preparing their returns.

Taxpayers have until Thursday, April 15, 2021, to file their 2020 tax return and pay any tax owed. The IRS expects to receive more than 160 million individual tax returns this year, with nine out of 10 returns filed electronically.

Taxpayers can securely access their IRS account information through their individual online account, which includes a number of new features.

For example, people can now check the amounts of their Economic Impact Payments (EIPs) to help them accurately calculate any Recovery Rebate Credit they may be eligible for on their 2020 tax return.

For married filing joint individuals, each spouse will need to sign into their own account to retrieve information on their portion of the payments.

Additionally, taxpayers can view:

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  The amount they owe, updated for the current calendar day;
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  Their balance details by year;
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  Their payment history and any scheduled or pending payments;
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  Key information from their most recent tax return;
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  Details about their payment plan, if they have one; and
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  Digital copies of select notices or letters from the IRS.

They can also:

• Make a payment online;
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  See payment plan options and request a plan via Online Payment Agreement; and
• 
  Access their tax records via Get Transcript.

Later in 2021, taxpayers will be able to digitally sign certain authorization forms, such as a power of attorney, initiated by their tax professional.

The IRS said taxpayers can refer to a new factsheet on recent tax law changes that affect individual taxpayers this tax season, titled: “Be tax ready: Understand how life changes may affect the 2020 tax return filed this year”.