WASHINGTON, D.C. – The Internal Revenue Service (IRS) is planning to push its tax filing deadline about one month to May 15 from April 15. Because May 15 falls on a Saturday, the final deadline for filers will likely be the following Monday, May 17.
The move will give taxpayers additional time to file their 2020 tax returns and pay any amounts owed to the IRS.
The passage of the new American Rescue Plan COVID-relief act means the agency is tasked with sending another round of stimulus payments while processing tax returns and refunds. Calls to extend the tax season increased after the passage of the $1.9 trillion bill.
The plan, which was signed into law by President Biden in the middle of tax season on March 11, made a number of changes that added to an already complex filing year for many. The bill made the first $10,200 of unemployment income tax free for filers with 2020 adjusted gross income of less than $150,000 — for both single people and couples.
It also expanded the child tax credit to $3,000 annually for children ages 6 to 17 and $3,600 per year for those under 6. Parents could start receiving a monthly portion of the credit as soon as this summer.
Filing a tax return is extra important this year as it’s the only way to recoup stimulus payments that people were eligible for and didn’t receive. If a filer’s circumstances changed, or someone is a non-filer, they need to file a tax return with the IRS and claim the recovery rebate credit to get the economic impact payments they were owed and make sure the agency has their information on file for any future payments.