Don't Mess With Taxes

Halloween isn't the only scary thing about October.
Millions face the final tax filing extension deadline this month.

Boo! Are you ready for thrills, chills, and downright scariness? Then October is your month, and I'm not even talking about Halloween.

Sure, the last day of this month is when ghouls and goblins — OK, youngsters in costumes and their sometime sillier-attired parents — take over neighborhoods. But before we get there, there are myriad tax deadlines that must be met in October.

The biggie, of course, is the Monday, Oct. 17 due date for the millions each year who get an extension to file their tax returns. Yes, it's a couple of days later this year than the usual Oct. 15 deadline. That's because the 15th is on Saturday, pushing the deadline to the next business day.

If you're still working on your 2021 return, I'll toss into the October tips mix a couple of items that ran earlier this year. The calendar pages flip, but when it comes to filing, the tax advice remains the same whether your deadline is in April or October.

And if you've had to deal with a major natural disaster, you'll find some info on how the tax code could help out, as well as new tax deadlines from the Internal Revenue Service.

Done with 2022, planning for 2023: October marks the start of the tax year's final quarter, making it a good time to make moves that can help reduce your already accruing 2022 tax liability.

You'll find some of those tax tips here this month, after they spend some time in the tax saving spotlight at the upper right corner of the ol' blog.

OK, are you ready? Then grab your pumpkin spiced beverage and let's get to them!

1. Beware post-disaster relief, repair scams — Two things are for sure after hurricanes. First, the doctored social media posts of sharks swimming along flooded roads, and second, land sharks, aka predatory scammers, show up trying to take advantage of folks who just endured a disaster. Don't fall for either. Get real help, tax and otherwise. (Oct. 1, 2022)
2. Don't fall for disaster charity scams — If you want to help with Hurricane Ian recovery efforts, make sure your charitable donations go to real nonprofits, not scam charities. (Oct. 2, 2022)
3. 4 October tax moves — Yes, it's really October, the start of the fourth quarter of the year. It's time to enjoy fall's cooler temperatures, cheer your favorite football teams, and make some tax moves. Here are four tax tasks to consider in October 2022. (Oct. 3, 2022))
4. 2/15/23 is new tax deadline for Hurricane Ian victims — As usual in major disaster situations, the Internal Revenue Service has granted tax relief to Floridians in the wake of devastating Hurricane Ian, as well to North and South Carolina residents since the deadline storm made a second landfall along the East Coast. The Sunshine State and Carolinas join Puerto Rico, which was hit by Hurricane Fiona; some Mississippians, who are dealing with Jackson's water crisis; and Alaskans who endured September storms and flooding in now facing a Feb. 15, 2023, deadline. (Oct. 5, 2022)
5. Adjusting your withholding — With three months left in the tax year, it's a good time to adjust your withholding. Paycheck withholding miscalculations could mean a big refund (yay!) or owing Uncle Sam a lot (oops!). Either situation is not ideal. Your goal should be to have the income tax amounts taken from your regular paychecks to be as close as possible to your final liability. Whether you need more or less taken out each pay period, adjusting your withholding now will give you three months over which to spread the changes, so the effect on your paychecks won't be that dramatic. (Oct. 7, 2022)
6. FBAR extended filing deadline is Oct. 17 — Do you have substantial amounts in non-U.S. accounts? Did you get an extension earlier this year to report that foreign money to Uncle Sam? Your time is almost up. The regular mid-October (Oct. 17 in 2022, since the 15th is on Saturday) tax filing deadline also applies to Report of Foreign Bank and Financial Accounts (FBAR). Get your Form 114 to Financial Crimes Enforcement Network (FinCEN) by Oct. 17 or face possible costly penalties on your international assets. (Oct. 11, 2022)
7. 25 tax deductions without itemizing — Most taxpayers don't itemize, especially since tax law changes back in 2017 created much larger standard deduction amounts. But standard deduction filers, and itemizers, too, can claim some write-offs directly on Form 1040's Schedule 1. There are 25 possibilities, still referred to as above-the-line deductions, and they include popular write-offs such as educators' out-of-pocket expenses, contributions to IRAs, and a variety of self-employed breaks. (Oct. 12, 2022)
8. Maximizing itemized tax deductions — Most taxpayers claim the standard deduction when they file their tax returns. In some cases, though, itemizing makes for more tax savings. Here's how to maximize the expenses you can claim on Schedule A. (Oct. 13, 2022)
9. 12 common filing mistakes to avoid — To err is human. To err when doing your taxes also is all too common. Don't let your rush to finish your 1040 by the Oct. 17 extension deadline cause you to make any of these dozen tax errors. (Oct. 14, 2022)
10. 9 last-minute extended tax filing tips — You put off filing your extended 1040 until the very last minute, but don't make the mistake of being in such a hurry now that you make costly tax errors. Here are some last-minute extended tax filing tips that could help you properly complete the job by Monday's Oct. 17 due date. (Oct. 15, 2022)
11. Don't forget your state taxes — If you got an extension to file your federal tax return, you probably got one for your state taxes, too, since most U.S. taxpayers live in states that collect those (and local) levies each year. Most states follow the Internal Revenue Service lead in asking their residents to submit returns electronically. Most also offer free online state tax filing options. (Oct. 16, 2022)
12. Disasters, deployment, and more delay Tax Day for millions — Most U.S. taxpayers who got a federal tax filing extension scrambled on Monday, Oct. 17, to meet the deadline. But not all. Those in major disaster areas, combat zones, and folks who aren't legally required to file a return get even more time. Their even-later deadlines are this coming November and February of next year. (Oct. 18, 2022)
13. State tax might be due on some forgiven college debt — The Department of Education is now accepting online applications for full or partial discharge of student loans up to $20,000. That's good news for millions of people who got went into debt to go to college (but not all). And some of those whose higher education loans are forgiven will face state tax on the amount that's written off. (Oct. 19, 2022)
14. Tax issues when tapping retirement accounts after a disaster — In some disaster circumstances, you've got to use retirement funds to make it through the rebuilding process. Just make sure you know what taking out nest egg money in an emergency will mean to your post-work financial future, as well as to your more immediate tax bill (Oct. 20, 2022)
15. 2023 inflation adjustments, starting with next year's income brackets — Inflation is top of mind for most folks, including the IRS, which has released its annual inflation adjustments for the coming tax year. Here are the 2023 tax bracket adjustments, which mean more money for you, not the Internal Revenue Service. This first installment of the ol' blog's annual 10-part tax inflation series has a directory of the remaining 9 posts on next year's inflation changes. Those items also will periodically show up as tips through October, as well as into November and December. (Oct. 20, 2022)
16. Halloween, and tax, scares — Sure, Halloween has a spooky reputation, but we all know that the scariest day of the year is Tax Day. If you're not up for John Carpenter's 1978 classic "Halloween" or similar traditionally scary flicks, check out these alternatives that include taxes (a little in some, a lot in others) in their plots. (Oct. 31, 2022)

*****

*****

On a sugar buzz from eating all your kiddos' candy? Put some of that energy to good tax use by checking out the prior monthly tax tips. If you're checking before Oct. 17, you'll find tax tidbits to help you finish your 1040. If you perusing post-extension deadline, there are some tips to help make the 2023 filing season less of a hassle.

But if you're thinking of clicking on the two months yet to come, all you'll find on the November and December pages is a GIF of a man enthusiastically telling us to slow down, or as we say here in Texas, Whoa Up! 

I know you want to see him, so go ahead and click. Then come back later. That animated fellow will be replaced by timely tax tips when the calendar finally flips to those remaining 2022 months.

Advertisements