Filing season statistics by year Internal Revenue Service

This program gives eligible taxpayers a new choice to file their 2023 federal tax returns online, for free, directly with the IRS. It will be rolled out in phases and is expected to be widely available in mid-March. Find more about Direct File pilot eligibility, scope and the 12 participating states on Direct File. The Volunteer Income Tax Assistance (VITA) program offers free tax help to people who generally make $64,000 or less, persons with disabilities and taxpayers whose preferred language is not English. IRS-certified volunteers provide free basic income tax return preparation with electronic filing to qualified individuals. The IRS encourages people to file their tax returns electronically and choose direct deposit for faster refunds.

• The feature helps to educate taxpayers on common scams and fraudulent efforts to steal taxpayer information and provide taxpayers with more ability to validate the legitimacy of IRS communications.
• Of the 41 states that do impose state income tax, most adhere to the April 15 federal filing deadline.
• Taxpayers must report all income on their tax return unless it’s excluded by law, whether they receive a Form 1099-K or not.
• With the start of the 2024 filing season, the IRS will be extending hours of service in nearly 250 Taxpayer Assistance Centers (TACs) across the country, providing additional help to people.
• Indeed, filing an early tax return can make sense for a variety of reasons.
• The IRS reminds taxpayers that they should keep copies of their prior-year tax returns for at least three years.

IRS announces the start of the 2025 tax season

Just like previous filing years, taxpayers must report all digital asset-related income when they file their 2024 federal income tax return. A digital asset is online bookkeeping property that is stored electronically and can be bought, sold, owned, transferred or traded. Examples include convertible virtual currencies and cryptocurrencies, stablecoins and non-fungible tokens (NFTs). Although the IRS is taking a phased in approach to implementation of the Form 1099-K reporting threshold, there have been no changes to the taxability of income.

Tax season 2025: When you can start filing taxes, and when taxes are due

Other circumstances, such as getting married or divorced, welcoming a child or experiencing the death of a spouse or a dependent you claim, https://innovatioautoparts.com/2024/12/27/what-is-a-fixed-asset-types-and-examples/ could also affect your tax benefit eligibility and filing status. These changes could mean you qualify for tax credits like the Child Tax Credit (CTC), the Earned Income Tax Credit (EITC), the Child and Dependent Care Credit and Credit for Other Dependents(ODC). Taxpayers who received more than $5,000 in payments for goods and services through an online marketplace or payment app in 2024 should expect to receive a Form 1099-K in January 2025. The tax agency says that most refunds are issued in fewer than 21 calendar days. That means someone who files their taxes on Jan. 27 could receive their refund by February 17, if all goes smoothly.

Credits & Deductions

Also provided is a spreadsheet (CSV) of all of the filing season statistics. For other tax statistics, visit Statistics – produced by the Statistics of Income Division and other areas of the Internal Revenue Service. New this year, filers using Direct File will also be able to use a chat bot to guide them through the program’s eligibility checker. The program will also support more taxpayer claims, such as child and dependent care credit, premium tax credit and credit for the elderly and disabled. A live chat option will also be available in English and Spanish.

• According to Werfel, the IRS aims to provide 10,000 extended hours at Taxpayer Assistance Centers.
• Refund information is normally available after four weeks for taxpayers who filed a paper return.
• The IRS expects to receive more than 140 million individual federal tax returns by the April 15, 2025, federal deadline, with approximately a third of filers receiving a refund.
• The agency expects more than 140 million individual tax returns to be filed by Tax Day, April 15, 2025.
• A smaller penalty of 0.5% is added if you file a return but fail to pay any taxes you owe, or if you get an extension on your return but fail to pay your owed taxes.

• But because the extension only applies to filing a tax return, taxpayers must still pay any taxes owed by the April 15 deadline.
• However, the IRS disaster relief page has the most official, up-to-date information.
• One big change coming in 2025 will be the issuance of a form called Form 1099-K for taxpayers who received $5,000 or more through online marketplaces or payment apps like Venmo, Zelle, Google Wallet and other services.
• You can also view, make, and cancel payments as well as set up or change payment plans and check your balance.
• More information is available on how to sign up at Get an identity protection PIN (IP PIN).

IRS Free File allows those with income within a specific limit to file their federal income tax returns for free. The program connects taxpayers with the agency’s trusted tax prep partners, which tax season differs from the new Direct File program (mentioned below). Whether a taxpayer uses an online tool or calls the IRS, they will experience upgraded help features. During filing season 2025, the IRS will offer voicebot services to all taxpayers calling the IRS for refund information. The voicebot is available in English and Spanish and has helped thousands of callers without the need to wait for the next available representative. Taxpayers will have to authenticate their identity to gain access to their refund information by providing select information from their tax return.

What is the deadline to file an extension?

The IRS’s Get Ready page on IRS.gov offers practical tips and resources to help taxpayers prepare. It highlights key updates and important steps for taxpayers to consider to make tax filing easier in 2025. With tax season starting, it’s good to know the standard deduction amounts, which, due to adjustments for inflation, are higher than last tax year if you haven’t already.

Key 2024 filing season dates

The IRS has also posted a new banner on the online account homepage that alerts taxpayers of potential scams and schemes. This makes it easier to be aware of scams, while also having access to legitimate IRS communications. If your AGI is above $84,000, you can use the Free File Fillable Forms (FFFF) starting January 27, 2025.