No April Foolingaround this year, please.
We are
not in the mood.
April usually is a serious tax month, but the reason for a somber take in 2020 is truly life and death. The U.S. tax world, like the rest of the literal planet, has been dramatically altered as we fight the coronavirus pandemic.
One of the major COVID-19 changes is that April 15 is not Tax Day this year.
This perennial return (or extension) filing and tax paying deadline
has been pushed to
July 15.
The one bit of good news connected to this 90-day delay is that we now have more time to make some key tax moves.
April 1: Another April change is that folks who turned
70½ last year and put off their first required minimum distribution (RMD) until today don't have to take it. Coronavirus relief legislation has
waived RMDs for 2020.
April 6: Looking for tax help? During a normal April, it would be way too deep into the filing season to find a tax preparer. That's likely still true, even with more months left in the filing season. But as some have finished up with early filers before coronavirus changes hit, you might be able to find a
tax pro willing to take on new clients.
Once stay-at-home orders are eased, you also might want to check into
Volunteer Income Tax Assistance (VITA) and Tax Counseling for the Elderly (TCE) programs in your area.
April 10: Most restaurants across the country have closed due to coronavirus. That's meant a loss of income for millions of workers in the consumer food sector, especially those who relied on tips. Some eateries and their employees are making do by delivering food instead of welcoming dine-in customers. Those delivery people also rely on
tips. If you worked at least some of March at a job where you got gratuities, remember to account for them. If they came to at least $20 last month, use
Form 4070 to report your tips today to your employer.
If a tip isn't included in your food delivery charge, click the image above to calculate how much to tip your meal delivery person.
April 15: Even though we don't have to get our returns in until July 15, this classic filing deadline date reminds us that Uncle Sam will be sending most of us coronavirus payments to help cover some of the financial hardship we've encountered due to the illness' wide-ranging economic effects. Now's a good time to check out
how much we might get and when it should arrive.
April 20: You've decided to tackle your taxes on your own. Even if you do use tax software, make sure you don't
overlook any tax breaks or make any common
filing mistakes.
April 24: Speaking of tax software, there's also the free versions available at, where else,
Free File. As its name says, this Internal Revenue Service partnership with the tax software industry offers eligible taxpayers access to online tax preparation programs and federal return e-filing at no cost. It's available for taxpayers with adjusted gross income of $69,000 or less.
There are 10 software companies participating this year at IRS.gov's
Free File webpage. If you make too much to use the online software, look into using Free File's fillable forms.
April 30: In filling out your return, you realized you could get a tax break by making a 2019 tax year contribution to your traditional IRA. Good news. You have
until July 15 to put that prior-tax-year money into that IRA, as well as into a health savings account (HSA).
Small Business Tax Calendar: Important
filing, deposit and record keeping dates throughout the year that your company needs to know. You can get more tax calendar information at the IRS'
online calendar page and view the full year's important business and individual tax dates in
IRS Pub. 509.
Festival of Frugality #31 is up at Financial Reflections, a
first-time festival host. It's an impressive array of
bloggings to help you save money, and I'm not just saying that because
my grocery store gas rebate report is part of the festivities.
Comments