Tax Return Filing Tips
Tax season is officially open. The IRS began accepting 2023 tax returns on January 29, 2024. To help you prepare for this tax season, the IRS is providing tips regarding what information you will need to file, how to file for your particular situation, how to check on your refund and more.
Before You Begin: Verify and Update Identification Numbers
- Social Security Number
- Individual Taxpayer Identification Numbers
- Adoption Taxpayer Identification Numbers
- Identity Protection Personal Identification Number (IP PIN) for 2024 (Keep in mind that your IP PIN is valid only for federal income tax returns and changes annually)
- Direct Deposit Information
Income Records and Documentation
Many filers have more than one source of income. Make certain you have W-2s, 1099s, K-1’s and other forms of income earned/received which may include the following:
- Unemployment compensation
- Dividends
- Interest
- Social Security benefits
- Retirement/pension plan distributions
- Income earned from the gig economy
- Digital Assets
Venmo
New rules regarding Venmo are in place for the 2023 tax year. According to Venmo, the IRS will require reporting of payment transactions for goods and services sold that exceed $20,000 and 200 transactions. Some states have lower reporting thresholds:
- Maryland (MD): ≥ $600
- Massachusetts (MA): ≥ $600
- Vermont (VT): ≥ $600
- Virginia (VA): ≥ $600
- Illinois (IL): > $1,000 and 4+ separate transactions
Deadlines for Business Returns
If you are a member in a partnership or a shareholder in an S corporation, the deadline for filing these business returns is March 15th. Calendar-year C corporation tax returns are due by April 15th.
Estimated Payments for Individuals
The first quarter estimated tax payment for Individuals is due April 15th.
Auto Mileage Log
Create and review the necessary logs to support your qualified business miles, moving miles, medical miles and charitable miles driven by you. Gather the logs and make a quick review to ensure they are up to date and totaled.
Income Earned by Child
Your child may be required to file a 2023 income tax return. A 2023 return is generally required if your child has earned more than $13,850, or has investment income such as dividends, interest, or capital gains that total more than $1,250.
Where’s My Refund?
The IRS updates their information each day on the Where’s My Refund tool. To check the status of your refund, click here. You will need your SSN or ITIN shown on your tax return to access this information. Your refund status will show as:
- Return Received – We received your return and are processing it.
- Refund Approved – We approved your refund and are preparing to issue it by the date shown.
- Refund Sent – We sent the refund to your bank or to you in the mail. It may take 5 days for it to show in your bank account or several weeks for your check to arrive in the mail.
Should you have questions on this or other matters affecting you or your business, please call 215.675.8364 or email us to speak with a CPA today.
DISCLAIMER: The WM Update, WM Wednesday Wisdom, WM Daily Update, and other related communications are intended to provide general information, as of the date of this communication, and may reference information from reputable sources. Although our firm has made every reasonable effort to ensure that the information provided is accurate, we make no warranties, expressed or implied, on the information provided. As legislative efforts are still ongoing, we expect that there may be additional guidance and clarification from regulators that may modify some of the provisions in this communication. Some of those modifications may be significant. As such, be aware that this is not a comprehensive analysis of the subject matter covered and is not intended to provide specific recommendations to you or your business with respect to the matters addressed.
