Tax season is here! Remember to get organized and prepare for filing your return. Here’s some things you need to know to make the process smooth and stress-free:
Gather Your Documents – Ensure you have W-2s, 1099s, receipts for deductions, and any other relevant paperwork.
Know Your Deadlines – The IRS filing deadline is April 15, 2025. If you need more time, you can file for an extension until October 15, 2025, but payments are still due in April.
Check for Tax Law Changes – Several tax law updates for 2024 may impact your return including those below:
Adjusted income tax brackets due to inflation:
Increased standard deduction ($14,600 for single filers and married filing separately, $29,200 for married couples filing jointly, $21,900 for heads of household, ).
Higher retirement contribution limits:
Traditional and Roth IRA: $7,000 (catch-up contribution of $1,000 for individuals 50+)
401(k) plans: $23,000 (catch-up contribution of $7,500 for individuals 50+)
Expanded Child Tax Credit: The maximum tax credit per qualifying child is $2,000 for children under 17. For the refundable portion of the credit (or the additional child tax credit), you may receive up to $1,700 per qualifying child.
Contribute to Retirement Accounts – Contributions to traditional and Roth IRAs for 2024 can be made until April 15, 2025, potentially reducing your taxable income.
Important Dates to Remember:
January 27, 2025 – IRS begins accepting tax returns.
April 15, 2025 – Filing deadline and last day to contribute to an IRA for 2024.
October 15, 2025 – Deadline for extension filers.
Start preparing now to avoid last-minute stress. Need help? Reach out to your Pearson & Company tax preparer today!
Gather Your Documents – Ensure you have W-2s, 1099s, receipts for deductions, and any other relevant paperwork.
Important Dates to Remember:
January 27, 2025 – IRS begins accepting tax returns.