End-of-Year Tax Tips for 2022

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File ERTC – Get Your Refund Now

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When are 2023 My Taxes Due?

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2022 Tax Calendar: Important Tax Due Dates and Deadlines

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The 2020 and 2021 federal income tax calendars were really messed up by the COVID-19 pandemic. The IRS extended various tax filing due dates and payment deadlines during both years to give taxpayers more time to take care of their tax obligations. While the IRS is so far sticking with the “normal” tax due dates for 2022, it’s still possible that the Omicron (or some other) variant will eventually wreak havoc on the 2022 tax calendar, too.

Know the tax deadlines that apply to you, so you don’t get hit with IRS penalties or miss out on a valuable tax break.

But even if the 2022 schedule is scrambled once again, one thing will remain the same – you won’t want to miss a tax deadline. If you do, the IRS can hit you hard with penalties and interest. For instance, the standard penalty for failing to file your annual tax return on time is 5% of the amount due for each month your return is late. If you pay your taxes late, the monthly penalty is 0.5% of the unpaid amount, up to 25% of what you owe, plus interest on the unpaid taxes. Similar penalties apply for missing other deadlines. And there could also be other negative consequences for being late, like losing out on a valuable tax break.

It’s easy to avoid these headaches, though — just don’t miss the deadline! But we realize that it’s not always easy keeping track of all the various IRS due dates. So, for those of you who need a little help remembering when to file a return, submit a report or pay a tax, we pulled together a list of the most important 2022 federal income tax due dates for individuals. There’s at least one deadline in every month of the year, so play close attention…we don’t want you to get in trouble with the IRS.

[NOTE: Some of the 2022 due dates listed below are extended for victims of recent natural disasters. In addition, several 2021 due dates were extended to January 3, 2022, for other natural disaster victims. For more information on these extensions, see Colorado Wildfire Victims Get More Time to Pay Taxes; Tax Relief Available for Arkansas, Illinois, Kentucky and Tennessee Tornado Victims; Tax Relief for Hurricane Ida Victims Extended to Feb. 15; Tax Deadlines Extended for Alabama Storm and Flooding Victims; Tax Deadlines Extended for Tennessee Flood Victims; and Tax Relief Available for California Wildfire Victims.]

January 2022 Tax Due Dates
January 3Self-Employed Individuals Pay Half of Deferred 2020 Social Security Taxes
January 10Tips for December 2021 Reported to Employer (Form 4070)
January 18Estimated Tax Payment for 4th Quarter of 2021 (Form 1040-ES)
January 18Farmers and Fishermen Pay Estimated Tax for 2021 (Form 1040-ES)
January 31File 2021 Tax Return (Form 1040) to Avoid Penalty if Last Installment of Estimated Tax Not Paid by January 18
February 2022 Tax Due Dates
February 10Tips for January 2022 Reported to Employer (Form 4070)
February 15File Form W-4 to Reclaim Exemption from Withholding for 2022

The monthly tip reporting deadline is February 10. This time it’s for tips received in January.

In addition, if you were exempt from income tax withholding in 2021 and want to reclaim the exemption for 2022, you need to fill out a new W-4 form and give it to your employer. (Note that you must qualify to claim an exemption.)

March 2022 Tax Due Dates
March 1Farmers and Fishermen File 2021 Tax Return (Form 1040) to Avoid Penalty if Estimated Tax Not Paid by January 18
March 10Tips for February 2022 Reported to Employer (Form 4070)

To avoid a penalty, farmers and fishermen who didn’t pay all their 2021 estimated taxes by January 18 must file their 2021 tax return by March 1.

Employees must report February tips to their employer by March 10.

April 2022 Tax Due Dates
April 1Farmers and Fishermen File 2021 Tax Return (Form 1040) to Avoid Penalty if Estimated Tax Not Paid by January 18
April 11Tips for February 2022 Reported to Employer (Form 4070)
April 18File 2021 Tax Return (Form 1040) and Pay Tax Due (except for residents of Maine and Massachusetts)
April 18File Form 4868 to Request 6-Month Income Tax Return Filing Extension (payment of tax not extended)
April 18File Schedule H (1040) and Pay Employment Taxes for Household Employees (file separately if Form 1040 is not filed)
April 18Estimated Tax Payment for 1st Quarter of 2022 (Form 1040-ES)
April 18Contribute to Individual Retirement Account (IRA) for 2021
April 18Withdraw Excess IRA Contributions in 2021 to Avoid Penalty if Filing of Form 1040 Was Not Extended
April 18Contribute to Health Savings Account (HSA) for 2021
April 18Contribute to Solo 401(k) Plan or Simplified Employee Pension (SEP) Plan for 2021 by Self-Employed if Filing of Form 1040 Was Not Extended
April 19File 2021 Tax Return (Form 1040) and Pay Tax Due for residents of Maine and Massachusetts

April is the most important month on the tax calendar. For most people, April 18 is the last day file a 2021 tax return…unless you file an application for an automatic six-month extension with the IRS, which is also due on April 18. If you employ a nanny, maid, gardener or other household worker, you also have until April 18 to file Schedule H and pay their employment taxes. If you live in Maine or Massachusetts, those due dates fall on April 19, since April 18 is a holiday (Patriot’s Day) in those states.

Finally, workers must report March tips to their employer by April 11, and estimated taxes for the 1st quarter of 2022 are due April 18.

May 2022 Tax Due Dates
May 10Tips for April 2022 Reported to Employer (Form 4070)

After a busy April, things slow down considerable for May. The only notable deadline is for employees to report tips received in April to their boss. That’s due by May 10.

June 2022 Tax Due Dates
June 10Tips for May 2022 Reported to Employer (Form 4070)
June 15Estimated Tax Payment for 2nd Quarter of 2022 (Form 1040-ES)
June 15U.S. Taxpayers Living and Working Abroad File 2021 Tax Return (Form 1040)
June 15U.S. Taxpayers Living and Working Abroad File Form 4868 to Request 4-Month Income Tax Return Filing Extension (payment of tax not extended)
June 15Military Personnel on Duty Outside the U.S. File 2021 Tax Return (Form 1040)
June 15Military Personnel on Duty Outside the U.S. File Form 4868 to Request 4-Month Income Tax Return Filing Extension (payment of tax not extended)

Military personnel and other taxpayers who are serving or living outside the U.S. have until June 15 to file their 2021 tax return. If they want a four-month filing extension, they must submit an application by June 15.

Estimated tax payments for the 2nd quarter of 2022 are also due June 15, while the tip reporting deadline for workers who received tips in May is June 10.

July 2022 Tax Due Dates
July 11Tips for June 2022 Reported to Employer (Form 4070)

For July, employees need to report any tips receive in June to their employer by July 11. Other than that, you can enjoy your time at the pool or beach without having to worry about tax deadlines!

August 2022 Tax Due Dates
August 10Tips for July 2022 Reported to Employer (Form 4070)

The summer slowdown for tax deadlines continues in August. The only important due date for individuals is the monthly tip report. Workers who received tips in July must report them to their employer by August 10.

September 2022 Tax Due Dates
September 12Tips for August 2022 Reported to Employer (Form 4070)
September 15Estimated Tax Payment for 3rd Quarter of 2022 (Form 1040-ES)

There are two notable tax due dates in September. First, employees must report August tips to their employer by September 12. Second, estimated tax payments for the 3rd quarter of 2022 are due by September 15.

October 2022 Tax Due Dates
October 11Tips for September 2022 Reported to Employer (Form 4070)
October 17File Extended 2021 Tax Return (Form 1040) and Pay Tax Due
October 17Withdraw Excess IRA Contributions in 2021 to Avoid Penalty if Filing of Form 1040 Was Extended
October 17Contribute to Solo 401(k) Plan or Simplified Employee Pension (SEP) Plan for 2021 by Self-Employed if Filing of Form 1040 Was Extended

If you were granted an extension to file your 2021 tax return, now’s the time to send that return to the IRS. The due date for extended returns is October 17. For those who received an extension, October 17 is also the last date for (1) self-employed people to contribute to a solo 401(k) or a simplified employee pension (SEP) plan for 2021, or (2) withdrawing excess IRA contributions made in 2021.

For workers who received tips in September, the deadline to report those tips to your employer is October 11.

November 2022 Tax Due Dates
November 10Tips for October 2022 Reported to Employer (Form 4070)

November is another slow month on the tax calendar. The only deadline is for employees reporting tips earned in October to their boss. That report is due November 10.

December 2022 Tax Due Dates
December 12Tips for November 2022 Reported to Employer (Form 4070)
December 31Contribution to Employer-Sponsored Retirement Plan for 2022 (401(k), 403(b), 457 or federal thrift savings plans)
December 31Required Minimum Distribution (RMD) by Individuals Who are 73 or Older at the End of 2022

December is the time to make any last-minute moves to lower your tax bill for the year. But there are also some other important due dates that you need to be aware of to stay out of hot water with the IRS. There’s the monthly tip reporting deadline, which is December 12 for reporting November tips to your employer. Plus, 2022 contributions to employer-sponsored retirement plans (e.g., 401(k), 403(b), 457 or federal thrift savings plans) must be in by December 31. That’s also the deadline for taking an RMD for 2022 if you’re 73 or older at the end of the year.

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Tax Year 2022 Inflation Rates Announced

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As the economy warms up in recovery mode, inflation starts to raise its ugly head. Everything—from baby food to new cars—costs more.

As the economy warms up in recovery mode, inflation starts to raise its ugly head. Everything—from baby food to new cars—costs more.

To keep up, the Internal Revenue Service has to update its tax processes and forms to adjust for inflation. So, the IRS has released the newest inflation adjustments for the 2022 tax year. They’ll generally apply to returns filed in 2023.

The full list is laid out in Revenue Procedure 2021-45.

What are the major changes?

The standard deduction generally leads the list of tax items of interest to taxpayers. Because of the adjustment for inflation, married couples filing jointly will see their standard deduction rise $800 to $25,900 for tax year 2022.

Singles and married taxpayers filing separately will see their standard deduction go up $400 to $12,950.

Heads of household also get a higher standard deduction; theirs rises by $600 to $19,400.

Not everything increases, though. The personal exemption stays at zero for tax year 2022, just like the prior year. The personal exemption was eliminated by the Tax Cuts and Jobs Act, signed into law in late 2017.

What are the marginal rates?

There’s no change in the top tax rate for tax year 2022; that remains at 37% for single taxpayers with income greater than $539,900 or for married taxpayers filing jointly with incomes above $647,850.

Other rates include:

  • 35%, for incomes over $215,950 ($431,900 for married couples filing jointly);
  • 32% for incomes over $170,050 ($340,100 for married couples filing jointly);
  • 24% for incomes over $89,075 ($178,150 for married couples filing jointly);
  • 22% for incomes over $41,775 ($83,550 for married couples filing jointly);
  • 12% for incomes over $10,275 ($20,550 for married couples filing jointly).
  • The lowest rate is 10% for incomes of single individuals with incomes of $10,275 or less ($20,550 for married couples filing jointly).

There’s no limit on itemized deductions in 2022, like the previous four tax years. The limitation was wiped out by the Tax Cuts and Jobs Act.

The Alternative Minimum Tax exemption for 2022 got a boost; the exemption amount goes up to $75,900 from 2021’s $73,600. Phase-out ranges were also increased.

Other various rate increases include:

Earned Income Tax Credit – The maximum EITC amount is marginally higher, rising from $6,728 to $6,935 for qualifying taxpayers with three or more children in tax year 2022. Revenue Procedure 2021-45 has details on other maximum levels, income thresholds and phase-outs.

Transportation Fringe Benefit – In 2022, the monthly limit for the qualified transportation fringe benefit and the limitation for qualified parking goes up to $280.

Foreign Income Exclusion – The exclusion for foreign earned income increases to $112,000 for tax year 2022. The 2021 exclusion was $108,700.

Gifts – For 2022, the exclusion for gifts is raised to an annual maximum of $16,000, an increase of $1,000 from the prior tax year.

Adoptions – The maximum credit for adoptions in tax year 2022 is increased to $14,890, up from $14,440 in 2021.

For more information on these and other rates, maximums and health account limits, see Revenue Procedure 2021-45.

Source: IR-2021-219

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American Relief Act and EIP 3

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EIP 3 Payments: Treasury successfully processed 90 million payments this past week using direct deposit for the stimulus (EIP 3) payments representing about $242 billion.  In addition, they did send out approximately 150 thousand checks for $442 million for EIP recipients.   The next round of EIP 3 for this coming week will be about 30 million payments. The IRS expects to continue to send out payments weekly until they cover everyone in which they have information.  

Other Elements of the Relief Act that impacts the Tax Preparation community:   There were also a number of tax law changes in that bill that impact taxpayer not only for next year but also this current filing season.  

Unemployment Compensation Exemption The act makes the first $10,200 in unemployment benefits tax-free for 2020 tax returns in this current filing season.  This retroactive benefit is intended for each person with incomes less that $150,000.   The IRS will be providing guidance soon on how to handle this feature on not only already filed returns, but also for 2020 returns you are preparing now and in the future.  Look out for news from IRS very soon on this topic.  

Child Tax Care Credits Increased The act also increased the amount of the tax credit for 2021 tax returns for next tax season, to $3000 per child, as well as liberalizing some of the rules on the existing credit.  One of the features in the act was to instruct the IRS to make prorated payments of this new credit to those qualifying starting later in 2020.    

The IRS will provide guidance on this feature later in the year as well as instruction on options and tools to opt out of the prepayment feature.  
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IRS to Handle Unemployment Returns.

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Returns filed with unemployment benefits prior to the $10,200 exclusion should not be amended. The IRS has indicated it will refigure taxes on these returns and adjust the taxpayer’s account accordingly. The IRS will then send any refund amount directly to the taxpayer.

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PREPARING FOR TAX DAY

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IRS Tax Return Filing Deadlines, Extensions and Refund Dates 2021

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The table below shows key 2021 deadline dates for filing 2020 tax returns and requesting temporary extensions. Given the number of missing government payments around the COVID relief economic stimulus payments and especially the dependent child stimulus payment, I expect there to a keen interest in the upcoming tax season. Especially for those expecting a large refund (see expected 2020-2021 tax refund schedule).

  • Jan. 11, 2021: Deadline for employees who earned more than $20 in tip income in December 2020 to report this income to their employers on Form 4070
  • Jan. 15, 2021: Deadline to pay the fourth-quarter estimated tax payment for tax year 2020
  • Feb. 1, 2021: Deadline for employers to mail out W-2 Forms to their employees and for businesses to furnish 1099 Forms reporting non-employee compensation, bank interest, dividends, and distributions from a retirement plan
  • Feb. 1, 2021: Deadline for financial institutions to mail out Form 1099-B relating to sales of stock, bonds, or mutual funds through a brokerage account, Form 1099-S relating to real estate transactions; and Form 1099-MISC, if the sender is reporting payments in boxes 8 or 14
  • Feb. 1, 2021: Deadline for catching up on unpaid fourth-quarter estimated taxes without additional penalties by filing 2020 tax returns
  • Feb. 10, 2021: Deadline for employees who earned more than $20 in tip income in January 2021 to report this income to their employers
  • March 1, 2021: Deadline for businesses to mail Forms 1099 and 1096 to the IRS
  • March 2, 2021: Deadline for farmers and fishermen to file individual income tax returns
  • March 10, 2021: Deadline for employees who earned more than $20 in tip income in February 2021 to report this income to their employers
  • March 15, 2021: Deadline for corporate tax returns (Form 1120-S) for tax year 2020, or to request an automatic six-month extension of time to file (Form 7004) for corporations that use the calendar year as their tax year, and for filing partnership tax returns (Form 1065) or to request an automatic five-month extension of time to file (Form 7004)
  • March 31, 2021: Deadline for businesses to e-file Forms 1099 and 1096 to the IRS, except Form 1099-NEC
  • April 12, 2021: Deadline for employees who earned more than $20 in tip income in March 2021 to report this income to their employers
  • April 15, 2021: Deadline to file individual tax returns (Form 1040) and C Corporation (Form 1120) for the tax year 2020 or to request an automatic extension (Form 4868) for an extra six months to file your return, and for payment of any tax due
  • April 15, 2021: Deadline for household employers who paid $2,200 or more in wages in 2020 to file Schedule H for Form 1040
  • April 15, 2021: Deadline for first-quarter estimated tax payments for the 2021 tax year
  • May 10, 2021: Deadline for employees who earned more than $20 in tip income in April 2021 to report this income to their employers
  • June 10, 2021: Deadline for employees who earned more than $20 in tip income in May 2021 to report this income to their employers
  • June 15, 2021: Deadline for second-quarter estimated tax payments for the 2021 tax year
  • June 15, 2021: Deadline for U.S. citizens living abroad to file individual tax returns or file Form 4868 for an automatic four-month extension
  • July 12, 2021: Deadline for employees who earned more than $20 in tip income in June 2021 to report this income to their employers
  • Aug. 10, 2021: Deadline for employees who earned more than $20 in tip income in July 2021 to report this income to their employers
  • Sept. 10, 2021: Deadline for employees who earned more than $20 in tip income in August 2021 to report this income to their employers
  • Sept. 15, 2021: Deadline for third-quarter estimated tax payments for the 2021 tax year
  • Sept. 15, 2021: Final deadline to file corporate tax returns for tax year 2020, if an extension was requested (Forms 1120, 1120-A, 1120-S)
  • Oct. 12, 2021: Deadline for employees who earned more than $20 in tip income in September 2021 to report this income to their employers
  • Oct. 15, 2021: Final extended deadline to file individual tax returns for the year 2020 (Form 1040)
  • Oct. 15, 2021: Deadline for taxpayers who earned $69,000 or less in adjusted gross income (AGI) for tax year 2020 to use Free File to prepare and file their returns
  • Nov. 10, 2021: Deadline for employees who earned more than $20 in tip income in October 2021 to report this income to their employers
  • Dec. 10, 2021: Deadline for employees who earned more than $20 in tip income in November 2021 to report this income to their employers
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