Experts say tax refunds may look different this year as COVID-19 relief measures end
COLUMBIA, Mo. (KMIZ)
Tax season kicked off Monday and experts are warning taxpayers that their tax refunds may look smaller this year as COVID-19 tax breaks end.
Kathy Pickering, chief tax officer for H&R Block, said most temporary COVID-19 relief measures have expired, including the expanded earned-income tax credit, child-tax credit, dependent-care credit and some small business relief programs.
"It's important for taxpayers to be aware of these changes," Pickering said. "They may impact their refund. Awareness can limit any surprises when filing taxes, or making plans with what they'll do with their refund."
Mark Steber, chief tax information officer with Jackson Hewitt, said millions of Americans who benefited from the COVID-era tax breaks will likely have a smaller refund.
"2022 tax returns will be vastly different than 2021 for a great many Americans," Steber said.
Steber said this year, tax refunds will have "reverted back to pre-pandemic amounts." Steber advises taxpayers to file early, "because this year more than most every dollar will indeed count."
"It's important to start early," Steber said. "Your tax return is some people's single largest financial transaction."
Steber said filling early makes it more like that you get your refund sooner. He also advises taxpayers to be organized and to file through a credible tax-professional or website. Filling online will also prevent your tax return from being held up in the IRS's backlog.
Key dates:
- Jan. 23: IRS begins 2023 tax season and starts accepting and processing individual 2022 tax returns.
- April 18: National due date to file a 2022 tax return or request an extension and pay tax owed due to the Emancipation Day holiday in Washington, D.C.
- Oct. 16: Due date to file for those requesting an extension on their 2022 tax returns.
Do you expect to get a tax return this year? Let us know below.
