IRS announces start of tax season – what to know
2025-01-11
Category: economic

The&#xA0;Internal Revenue Service (IRS) on Friday announced details for the start of the 2025 tax filing season, which will begin in earnest later this month. Tax filing season will open on Monday, Jan. 27 for taxpayers submitting their tax returns for tax year 2024. The IRS said it expects more than 140 million individual tax returns by the federal deadline for filing returns for tax year 2024, which will be Tuesday, April 15. The agency added that with about half of all returns expected to be filed with the help of a tax professional, taxpayers should use a trusted tax pro to avoid potential scams and schemes. This tax filing season will also see new tools available to taxpayers amid the IRS&apos; modernization efforts. Among the improvements include more access to tax account information from text and voice virtual assistants, expanded features on the IRS individual online account, more access to dozens of tax forms for cell phone and tablet users, plus expanded alerts for scams and schemes targeting taxpayers. IRS INCREASES 401(K), OTHER 2025 RETIREMENT PLAN CONTRIBUTION LIMITS  The IRS has also expanded the Direct File program from last year, which will be available to taxpayers in 25 states when the tax season officially begins later this month, after the program was used by 12 states as part of last year&apos;s pilot program. Direct File is similar to&#xA0;commercial tax software and allows taxpayers to opt in to a data import tool to automatically import information from their IRS account &#x2013; such as personal information, the taxpayer&apos;s IP PIN and certain information from their W-2 form. A new chatbot will also be available to help Direct File users navigate the eligibility checker. &quot;This has been a historic period of improvement for the IRS, and people will see additional tools and features to help them with filing their taxes this tax season,&quot; said IRS Commissioner Danny Werfel. &quot;These taxpayer-focused improvements we&apos;ve done so far are important, but they are just the beginning of what the IRS needs to do. More can be done with continued investment in the nation&apos;s tax system.&quot; IRS TO SEND UNCLAIMED TAX REBATES TO 1M AMERICANS  The IRS&apos; announcement noted that most&#xA0;tax refunds are issued in less than 21 calendar days and that taxpayers can use the &quot;Where&apos;s My Refund?&quot; tool on IRS.gov to check the status of their 2024 income tax refund within 24 hours of e-filing.&#xA0; For taxpayers who file a paper return, refund information is normally available four weeks after filing. The &quot;Where&apos;s My Refund?&quot; tool updates overnight, so there&apos;s no need to check it more than once a day. &quot;The easier,&#xA0;safest and fastest way to receive a refund is to file electronically and select direct deposit. According to Treasury&apos;s Bureau of the Fiscal Service, paper refund checks are 16 times more likely to have an issue, like the check being lost, misdirected, stolen or uncashed,&quot; the IRS wrote.&#xA0; GET FOX BUSINESS ON THE GO BY CLICKING HERE It added that taxpayers should check the FDIC and National Credit Union Administration websites if they don&apos;t have a&#xA0;bank account, while veterans can use the Veterans Benefits Banking Program to find participating financial institutions.