When does the tax season start?
When does the tax season start? The Internal Revenue Service will launch the start of the tax season in late-February. The earliest day to file taxes is generally the last Monday of January.
The tax season is going to start either on January 25 or February 1, 2024. While the start of the tax season is very obvious, there are other important tax dates that all taxpayers should know.
The 2023 tax season is expected to start on January 25, 2024, so that the IRS doesn’t wait until February 1st. Since the COVID-19 had affected the workforce of the Internal Revenue Service, the earlier the tax season starts, the faster the tax returns can be processed.
January 31st
The deadline to file information returns such as Forms 1099. If you’re a business owner and hired freelancers or contractors to do work for you, fill out Form 1099-MISC. This is the most common use of information returns.
April 15
April 15 is the deadline to file a federal income tax return. If the April 15 deadline doesn’t cut it for you, consider filing an extension.
April 15 – 30
The deadline to pay the first quarter’s federal estimated tax payments and file Form 941.
July 15 – 30
The deadline to pay the second quarter’s federal estimated tax payments and file Form 941.
October 15
The extended federal income tax returns due.
October 15 – 31
The deadline to pay the third quarter’s federal estimated tax payments and file Form 941.
Tax Season Deadline
The deadline for filing taxes is usually April 15th. However, if this date falls on a weekend or a public holiday, the deadline is extended to the next business day. It’s crucial to meet this deadline to avoid penalties and late fees.
Tax Season for Individuals
For individuals, tax season is the time to report income earned in 2024 and to claim deductions and credits. This is also when you can adjust withholdings for the upcoming year based on changes in your financial situation.
Key Factors for Individuals:
- Income Sources: Wages, interest, dividends, etc.
- Deductions: Mortgage interest, charitable contributions, etc.
- Credits: Education credits, Earned Income Tax Credit, etc.
Tax Season for Businesses
Businesses must also adhere to tax filing requirements during tax season. This includes reporting income, expenses, and paying any owed taxes.
Key Factors for Businesses:
- Business Structure: Sole proprietorship, partnership, corporation, etc.
- Deductions: Business expenses, depreciation, etc.
- Quarterly Payments: Estimated tax payments for the current year.
Comparison Table: Individuals vs Businesses
| Factor | Individuals | Businesses |
|---|---|---|
| Income Reporting | Wages, investments | Business income |
| Deductions | Personal expenses | Business expenses |
| Tax Payments | Once a year | Quarterly estimates |
