Tag: irs

Benefits to filing an extension in the final hours of Tax Day Benefits to filing an extension in the final hours of Tax Day 02:34 Waiting until the last day to file their tax returns proved frustrating for some H&R Block customers who experienced tech issues that began Sunday and persisted into most of Monday, hampering their ability to send their 1040s to the IRS before the April 15 deadline.H&R Block late Monday afternoon told CBS MoneyWatch it had resolved an i...

If you're one of the millions of Americans who have procrastinated filing their taxes ahead of the April 15 deadline, there is a way to get some breathing room: File for an extension. The step gives taxpayers until October 15 to file their federal tax returns, and the process is fairly quick — and also free. About 90 million people have filed their 1040s with the IRS as of March 29, the tax agency says. But as it expects about 128.7 million tax returns this year, that means almost 40 million people have pushed off filing until the last two weeks of the regular tax season.Almost half of Americans delay working on their taxes, a new survey from tax prep company TaxAct found. Many are stressed by the task, but more than 1 in 4 is worried about owing money to the IRS, the study found. ...

IRS Audits help the agency collect money that tax cheats owe the federal government, but experts say they also serve another important purpose: They help deter fraud.That can cause some serious agita, of course. The IRS says about 6 in 10 taxpayers cite the anxiety of getting audited as a motive for being honest on their taxes. Meanwhile, the IRS has vowed to increase audits on taxpayers with annual income over $400,000 as a way to raise revenue and crack down on tax dodgers, funded by the Inflation Reduction Act. After the 2022 law was passed, roughly a quarter of voters expressed concern about getting hit with an audit, according to Morning Consult research.  So what are the odds of getting audited? Very low. Only 0.2% of all individual income tax ret...

Most Americans think they pay too much in federal income taxes, and about 6 in 10 mistakenly believe middle-income households shoulder the highest tax burden.In fact, only about 18% of adults correctly identified the group facing the highest federal tax burden, which are high-income Americans, according to a January poll from AP-NORC. With less than one week left to file tax returns for 2023, taxes are on the mind of millions of Americans, with many expecting refunds, and others owing money. Only about 27% of taxpayers believe their federal income taxes are fair, with 60% believing their burden is too high, AP-NORC found.  In fact, the U.S. tax system is designed to be progressive, meaning that lower-income Americans pay a smaller share of their income ...

The IRS is rolling out new income thresholds for its seven tax brackets, boosting the limits to reflect inflation this year.