taxes1.49 min read
IRS Announces 2025 Tax Return Start Date and Refund Insights
5 days ago•Source: IRS (.gov)
Taxes News
The latest taxes stories, summarized by AI
Featured Taxes Stories
View original source
0.795 min•11 days ago
W-2 Form Submission Deadline for Employers
Employers are required to send out W-2 forms to employees by January 31, each year, reporting wages and taxes withheld, with the tax filing deadline set for April 15.
More Top Stories
2
Key Updates on 2025 Tax Changes
KSL.com•17 days ago
3
"IRS Targets High-Income Tax Dodgers Owed Millions in Unfiled Returns"
CBS News•1 year ago
More Taxes Stories
"Tax Overhaul: How Millions Could Get Bigger Refunds Under Bipartisan Bill"
A proposed overhaul of the Trump-era tax law could potentially double the state and local tax (SALT) deduction cap to $20,000 for married couples, resulting in bigger tax refunds for millions of Americans. The change, retroactive for the 2023 tax year, aims to address concerns about the $10,000 cap disproportionately affecting middle-class homeowners in high-tax states. The proposed law, called the SALT Marriage Penalty Elimination Act, is expected to be voted on in the House next week and would apply to joint returns for couples with adjusted gross income below $500,000 in 2023.
Jackson County Property Tax Controversy: Calls for Assessment Rollback and Protests Dismissed
The Missouri Attorney General is suing Jackson County, claiming that the assessment data collected for property taxes is illegal. Residents who wish to pay their property taxes under protest must follow specific procedures, including using templated letters and filing a lawsuit within three months. Paying under protest allows individuals to dispute the amount owed, but it may delay any potential refunds resulting from an appeal. Attorney Sherry DeJanes is offering to file the lawsuit for free on behalf of residents.
Jackson County Property Assessments Spark Controversy and Legal Action
The Missouri State Auditor has found that the Jackson County Assessment Department violated state law in their property assessments, and homeowners are advised to pay their tax bills "under protest" if they disagree with the assessment. To do so, property owners must pay the full tax bill by the December 31 deadline, file a written statement explaining the grounds for protest, and file a petition in court within 90 days to recover the amount protested. Paying under protest is not required for property owners with an ongoing appeal, but it may delay the issuance of a refund.
IRS Denies 20,000 Pandemic Tax Credit Refund Claims
The IRS is rejecting over 20,000 refund claims for the pandemic-related employee retention credit (ERC) as part of its crackdown on "dubious" filings. The tax break, designed to support small businesses during the Covid-19 pandemic, has led to companies wrongly claiming the credit. The agency temporarily halted processing new filings in September due to a surge in questionable claims. Ineligible taxpayers will receive rejection letters, and the IRS plans to launch a voluntary disclosure program for those who wrongly claimed the credit. The agency is also rejecting filings from entities that didn't exist or lacked paid employees during the eligibility period.
Supreme Court's High-Stakes Cases: Taxation, Controversy, and Trillions at Stake
The Supreme Court is set to hear a case involving a retired couple, Charles and Kathleen Moore, who are fighting $15,000 in taxes on an investment they made in an Indian company. The couple argues that since they never received any profit from their investment, they shouldn't be taxed on it. The court's decision could have far-reaching implications for how the government can tax the earnings of wealthy Americans and potentially lead to challenges against other provisions of the tax code. A narrow ruling in favor of the Moores could cost the government billions, while a broader ruling could invalidate large parts of the Internal Revenue Code and cost over $5 trillion. The case has also raised questions about the accuracy of the factual record presented to the court and has sparked controversy over Supreme Court ethics.
Unforeseen Estate Taxes: A Shock to Americans
Americans are being caught off guard by estate taxes, as retroactive changes to state laws can significantly impact the amount owed. Karl Yee, who was facing a $112,000 tax bill for his late mother's estate in Massachusetts, received a reprieve when the state's estate-tax law was retroactively changed, reducing the bill to $12,000.
2024 IRS Tax Brackets: What You Need to Know
The IRS has released the new inflation-adjusted income tax brackets and standard deduction amounts that will be in effect for tax year 2024.
IRS Updates Tax Brackets, Deductions, and Contribution Caps for 2024
The IRS is adjusting the income limits for its tax brackets by 5.4% in 2024 to account for inflation, potentially providing a tax break for some taxpayers. The new tax brackets will result in more of taxpayers' income falling into lower tax brackets. The standard deduction is also increasing by 5.4% in 2024. The IRS is also raising limits for tax-advantaged accounts such as flexible spending accounts and health savings accounts. Taxpayers will file their 2024 taxes in early 2025.
"Property Tax Bills Skyrocket for Homeowners in Chicago's Northern Suburbs"
Homeowners in the north and northwest suburbs of Cook County are experiencing the largest property tax increase in the last 30 years, with the median residential tax bill increasing by 15.7%, according to an analysis by county Treasurer Maria Pappas' research team. The increase is attributed to a combination of factors, including the removal of COVID-19 adjustments made in 2020, a surge in housing market prices, and appeals that shifted more of the tax burden onto homeowners. Overall, property taxes across Cook County rose by $909 million, reaching $17.6 billion, a 5.4% increase from last year.
IRS to Launch Free Tax-Filing Pilot Program in 13 States for 2024
The IRS will test a free tax-filing system in 13 states early next year, with hundreds of thousands of taxpayers expected to participate. The agency aims to save Americans money, as they currently spend about $11 billion annually on tax-preparation services. The first states to roll out the IRS' direct-filing platform are Arizona, California, Massachusetts, and New York, while residents in nine other states without income tax may also be eligible. The program is part of the Inflation Reduction Act and will be rolled out incrementally. The IRS plans to work with various organizations to identify eligible taxpayers based on their income, tax credits, and deductions.