As we step into the new year, it’s a good time to review key tax deadlines and updates for businesses and individuals alike. Staying ahead of these dates can help you avoid late penalties and ensure you’re on track for a smooth tax season. Let’s break down what you need to know.
Important Payroll Tax Deadlines
For businesses, January is a busy month filled with payroll tax requirements. Here are some key dates to keep in mind:
January 15, 2025:
This is the due date for the fourth-quarter estimated tax payment for 2024. This applies to both individuals and businesses who make quarterly payments.
January 31, 2025:
Employers must file Form W-2 (Wage and Tax Statement) with the Social Security Administration (SSA) and distribute copies to employees.
Forms 1099-NEC (Nonemployee Compensation) must also be sent to contractors by this date and filed with the IRS.
Federal unemployment tax returns (Form 940) are due for most businesses.
Individual Tax Returns and IRS E-File Opening Date
The IRS typically begins accepting electronically filed (e-filed) tax returns in January. For the 2025 tax season, the e-file start date is January 20, 2025.
However, this doesn’t mean everyone can file their tax returns on that date. Some individuals may need additional time if they are waiting for forms like a W-2 or 1099 from employers or payers. Make sure to have all your tax documents in hand before filing to avoid errors or delays.
Refund Timing for Child Tax Credit Recipients
If you’re claiming the Child Tax Credit or the Earned Income Tax Credit (EITC), your refund might be delayed. By law, the IRS cannot issue refunds for returns claiming these credits before mid-February. This additional processing time helps prevent fraud.
The IRS expects these refunds to be available in taxpayer bank accounts by the first week of March if there are no issues with the return.
Business Filing Deadlines
January 15, 2025: As noted earlier, this is the due date for fourth-quarter estimated tax payments for 2024.
March 15, 2025: Partnerships (Form 1065) and S-Corporations (Form 1120-S) must file their 2024 tax returns or apply for an extension.
April 15, 2025: C-Corporations (Form 1120) and sole proprietors must file their tax returns unless an extension has been filed. This is also the deadline for the first quarter estimated tax payment for 2025.
BOI Filing Mandate
The Beneficial Ownership Information (BOI) filing requirement is back. Most businesses are required to report their beneficial ownership information under the Corporate Transparency Act (CTA). The filing deadline for 2025 is January 13, 2025, for companies formed or registered before January 1, 2024. Newly formed companies must file within 30 days of registration. Be sure to complete this filing to avoid penalties.
Other Key Considerations
Organize Your Documents: Start gathering your tax forms, receipts, and records now. This includes payroll records for businesses and income, deduction, or credit-related documents for individuals.
Plan Ahead for State Returns: Don’t forget that state tax return due dates may vary. Check your state’s guidelines to stay on top of both federal and state requirements.
Use Direct Deposit: If you’re expecting a refund, opt for direct deposit. It’s the fastest and safest way to receive your money.
Need Help?
Taxes can be complicated, but you don’t have to navigate them alone. Whether you’re managing payroll for your business or filing your individual return, we’re here to assist. Contact us today to ensure your 2025 tax season is stress-free.
Let’s start the year right by staying organized and informed!
This blog is for informational purposes only and does not constitute tax advice. For personalized assistance, please reach out to our office.
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