We wanted to fill everyone in on some updates that are happening as we make our way closer to the start of the third quarter of 2021. If you have not had a chance to read any of our previous blogs on the The New Biden Tax Plans, go give them a read. We will continue to keep everyone up to date on things as they keep rolling out. But for now, let’s jump into some things happening right now.
The American Rescue Plan passed in March of this year, excluded any taxes from being paid on up to $10,200 of unemployment benefits collected in 2020. The IRS has started issuing refunds for those people who paid prior to the passing of that plan. The refunds are being sent either through direct deposit or check, whichever is on file with them. Of the over 3 million tax returns reviewed by the IRS, over 2.8 million are receiving an unemployment refund. So, if you fall into the category of people expecting a refund, that should be heading your way shortly. You will also be receiving a letter from them stating what correction was made and the amount the refund should be. The next wave of reviews and refunds are expected any day.
2nd Quarter Estimates Due:
If you are a taxpayer who pays quarterly estimates, your second quarter estimate payment is quickly approaching. Make sure to pay before June 15th to avoid penalties and fees. You can pay directly through the IRS website with their Direct Pay service, or you can mail in a check with your estimate voucher to the IRS directly. If you have had significant changes to your income this year or have questions about how to pay estimates, speak with your accountant or a tax professional.
We will continue to stay ahead of the changes in the accounting and tax world. Follow along on any of our social media – Facebook, Instagram, Twitter, or LinkedIn – to get notified each week when we post our blogs. If you need some help understanding all of these changes and want to see how CPA On Fire can transform your business, schedule a free financial review. We will show you how we can bring insight to your financials and execute transformational growth within your business.