Taxes and car insurance are two of the more predictable costs that each of us has to cover, but this year, tax filing will be even more predictable than usual. After two delayed tax seasons in 2013 and 2014, many Americans are anticipating yet another delay in the process of filing taxes but, surprisingly enough, the Internal Revenue Service has just announced that the 2015 tax filing season will begin without a hitch. On January 20th, tax season is open not only for paper returns, but electronically submitted ones as well, so you can take care of your taxes and auto insurance without ever leaving the computer. That January 20th start date is earlier than many expect thanks to an 11-day delay last year and a 10-day one the year before that. It’s possible that next year the season will open a little early, much like it did in 2012.
There will also be no tiered opening system, meaning that the January 20th opening date applies to everyone, not just those of us in a certain bracket. Originally, there were some well-justified concerns that a tiered filing system would make a comeback this year thanks to some nearly-delayed tax extensions that Congress was somewhat hesitant to apply. Eventually, a tax extenders package was approved, allowing all tax payers to begin their filing on the same date. The provisions extended were only extended for one more year, and no changes were made to the package before it was signed into law by President Obama on December 19th of last year. Since the extensions will only last a year, it remains to be seen how Congress will handle the 2016 tax season or if the tiered system will return.
Commissioner of the IRS John Koskinen explained the decision to approve the tax extenders, saying that, “[Congress has] reviewed the late tax law changes and determined there was nothing preventing us from continuing our updating and testing of our systems. Our employees will continue an aggressive schedule of testing and preparation of our systems during the next month to complete the final stages needed for the 2015 tax season.”
What this means for the IRS’s systems is yet to be seen, but as more information emerges, we’ll be covering it. Stay informed and always make sure you’re working with accurate information.
How do you feel about the tax extenders package? Do you feel that Congress has made a mistake in forgoing the tiered system? Let us know in the comments section below.