The 2021 IRS Tax Season Officially Begins on February 12, 2021

Last week, the IRS announced it will officially begin accepting and processing 2020 tax returns on February 12, 2021, which is two to three weeks later than the official tax season start date of previous years. Accordingly, while taxpayers can begin the process of preparing their tax returns now, the IRS will not begin accepting returns until February 12.

This revised start was instituted as part of the passage of the Consolidated Appropriations Act (“the Act”) which was enacted on December 27 and potentially altered the tax landscape for both businesses and individuals. Among its provisions, the Act includes an expansion of the Paycheck Protection Program (“PPP2”), provides new stimulus funding, and introduces additional benefits such as Economic Impact Payments. The IRS’ delayed start date to tax season now will allow IRS systems to be programmed for any potential changes that could impact processing. 

To avoid further delays, the IRS is encouraging taxpayers to file electronically with direct deposit information. Currently, filing due dates have not changed and are as follows:

Pass-Through Entities

Individuals

Corporations

Other Entities

ALL would like to remind clients, once you have organized the majority of your 2020 individual and trust tax return(s) information, please submit them to us as soon as possible. If you have any questions about this please contact your ALL tax advisor or call us at 617-738-5200.