IRS Update: 2021 Tax Filing Season Begins February 12th

The IRS announced that the tax season will start on Friday, February 12, 2021, when the tax agency will begin accepting and processing 2020 tax year returns. Note: The IRS anticipates a first week of March refund for many EITC and ACTC taxpayers if they file electronically with direct deposit and there are no issues with their tax returns. Please visit the IRS's News Release for more information.
Read More

IRS Update: Delivery of the Second Round of Stimulus Payments

The Internal Revenue Service and the Treasury Department will begin delivering a second round of Economic Impact Payments as part of the Coronavirus Response and Relief Supplemental Appropriations Act of 2021 to millions of Americans who received the first round of payments earlier this year. Click below to read the IRS's new release. Treasury and IRS begin delivering a second round of Economic Impact Payments to millions of Americans
Read More

Tax Day now July 15: Treasury, IRS extend filing deadline and federal tax payments regardless of amount owed

The Treasury Department and IRS announced that the federal income tax filing due date is automatically extended from April 15, 2020, to July 15, 2020. Taxpayers can also defer federal income tax payments due on April 15, 2020, to July 15, 2020, without penalties and interest, regardless of the amount owed. This deferment applies to all taxpayers, including individuals, trusts and estates, corporations and other non-corporate tax filers as well as those who pay self-employment tax. Taxpayers do not need to file any additional forms or call the IRS to qualify for this automatic federal tax fil...
Read More

New PTIN Verification Requirements for Tax Preparation Professionals

As you may know, the IRS now requires all tax software to request additional PTIN verification from tax preparation professionals. It is necessary for each preparer to simply check a box verifying that their PTIN is accurate and that they are indeed the registered owner. Fortunately, TaxAct® Professional makes this step quick and easy: In the Basic Information section of the Preparer Info page, enter your name, SSN, and PTIN as normal. Directly to the right of the PTIN field, you’ll see an empty checkmark box accompanied by text that reads “I verify this PTIN is accurate and the associate...
Read More

IRS Officially Open for 1040 e-Filing

The IRS is now processing all individual returns starting today, Monday, January 27. As the IRS begins processing returns, acknowledgments may be unpredictable due to the high volume of returns being processed. Note: The IRS is in the process of updating the MeF system to allow for the recent extender legislation. In addition, taxpayers who claim the Earned Income Tax Credit or the Additional Child Tax Credit may experience a refund hold. According to the Protecting Americans from Tax Hikes (PATH) Act, the IRS cannot issue these refunds before mid-February. The IRS expects the first EIT...
Read More

IRS Opens E-filing on January 27

We know your clients are curious: “When will the IRS start accepting returns?” The Internal Revenue Service confirmed in early January that tax season will start for individual tax return filers on Monday, January 27, 2020, when the tax agency will begin accepting and processing 2019 tax year returns. With TaxAct Professional, you can submit returns as soon as they’re complete — we’ll hold them securely until the IRS begins processing on the January 27.  
Read More

Reminder: 11/16/19 IRS Annual 1040 e-file Shutdown

The annual IRS 1040 Modernized e-File system (MeF) production shutdown will start this Saturday, November 16 as they prepare the system for the upcoming tax year 2019 filing season. To ensure your clients' 1040 returns are processed timely, they will need to be submitted on or before 9 PM Central Time on Saturday, November 16. Because the IRS only allows for filing the current tax year plus 2 years prior, this is your last chance to e-file 2016 returns. After the production shutdown, any remaining 2016 returns will need to be filed by paper. The IRS has also confirmed the annual MeF producti...
Read More

Starting July 18: Extended Shutdown for IRS Modernized e-File (MeF) System Upgrade

The IRS has announced the MeF system will be unavailable for a system upgrade during the following times: 12 am July 18 - 12 pm July 22 Eastern time 12 am August 3 - 12 pm August 5 Eastern time While you can still submit e-filed returns, you will not receive acknowledgements during the system shutdown periods. This affects all tax years and all form types that are currently able to be e-filed (2018, 2017 and 2016).
Read More

IRS Grants Extension of 03/01 Deadline for Farmers and Fishermen to Make Estimated Tax Payment

The IRS is granting an extension of the March 1st deadline for farmers and fishermen to make their estimated tax payment before being subject to estimated tax penalties – as long as they file and pay the full amount of tax reported on their 2018 return by April 15, 2019 (or by April 17, 2019, for those taxpayers who live in Maine or Massachusetts). The IRS is providing this relief because, due to certain rule changes, many farmers and fishermen may have difficulty accurately determining their tax liability by the March 1 deadline that usually applies to them. For tax year 2018, an individua...
Read More

IRS Opens for e-Filing Today

The IRS began processing all individual returns today, Monday, January 28. As the IRS begins processing returns, acknowledgments may be unpredictable due to the high volume of returns being processed. The IRS strongly encourages people to file their tax returns electronically for faster refunds. Although the IRS is accepting both electronic and paper tax returns starting today, paper returns will begin processing later in mid-February as the IRS continues to update their systems.
Read More