[UNITED STATES] The Internal Revenue Service (IRS) has officially announced that the 2025 tax season will commence on January 27, 2025. This eagerly anticipated announcement sets the stage for millions of Americans to begin filing their tax returns for the 2024 tax year. With new improvements, expanded services, and a focus on modernization, the IRS aims to make this tax season more efficient and user-friendly than ever before.
Key Highlights of the 2025 Tax Season
Filing Deadline and Expected Returns
The IRS expects more than 140 million individual tax returns to be filed by the April 15, 2025 deadline. This substantial number underscores the importance of early preparation and timely filing for taxpayers across the nation.
Expanded Direct File Program
One of the most significant developments for the 2025 tax season is the expansion of the IRS Direct File program. This free filing option will now be available to taxpayers in 25 states, up from 12 states in the previous year's pilot program. The Direct File program allows eligible taxpayers to calculate and submit their returns directly to the government without the need for commercial tax preparation software.
IRS Commissioner Danny Werfel emphasized the agency's progress, stating, "This been a period of for the and people see additional and features assist them with filing their taxes this tax season."
Free File Program
The IRS Free File program, which provides free guided tax preparation through affiliated software partners, opened on January 10, 2025. Eligible taxpayers can begin electronically filing their returns using Free File partners starting January 27.
Modernization Efforts and Improved Services
Technology Enhancements
The IRS has been undergoing a significant transformation, focusing on improving its technology and customer service processes. This overhaul is supported by substantial funding allocated through the Inflation Reduction Act, signed into law in August 2022.
Refund Processing and Tracking
Most refunds are expected to be issued in less than 21 calendar days. Taxpayers can use the "Where's My Refund?" tool on IRS.gov to check the status of their 2024 income tax refund within 24 hours of e-filing.
Customer Service Improvements
The IRS aims to maintain the improved levels of service achieved in recent years, including wait times of less than 5 minutes for telephone assistance.
New Features and Tools for Taxpayers
Enhanced Online Accounts
The IRS has expanded features on individual online accounts, providing taxpayers with more access to their tax information and improved functionality.
Mobile Accessibility
More tax forms are now accessible for cell phone and tablet users, making it easier for taxpayers to manage their tax affairs on-the-go.
Virtual Assistants
The IRS has introduced text and voice virtual assistants to provide taxpayers with easier access to tax account information.
Expanded Outreach and Education
Rural Outreach Program
The IRS plans to expand its rural outreach program by 20%, increasing the number of returns prepared in underserved areas.
Earned Income Tax Credit Awareness
Commissioner Werfel highlighted efforts to improve public awareness of the Earned Income Tax Credit, noting that nearly 1 in 5 eligible taxpayers don't claim it due to lack of awareness or understanding of their eligibility.
Security and Scam Prevention
Enhanced Alerts
The IRS has implemented expanded alerts for scams and schemes targeting taxpayers, aiming to protect individuals from fraudulent activities.
Advice for Taxpayers
The IRS urges filers to guard against tax scams, warning that bad actors often proliferate during filing season. Taxpayers are encouraged to visit IRS.gov and search "scams" for the latest information.
Impact of Funding on IRS Operations
The IRS's ability to maintain and improve its services is closely tied to its funding. Commissioner Werfel emphasized that while significant improvements have been made, continued investment is crucial for further enhancements to the nation's tax system.
Preparing for the 2025 Tax Season
Early Preparation
Taxpayers are encouraged to gather necessary documents and information well before the filing deadline to ensure a smooth filing process.
Electronic Filing and Direct Deposit
The IRS recommends electronic filing and selecting direct deposit as the safest and fastest way to receive refunds.
Professional Assistance
With about half of all returns expected to be filed with the help of tax professionals, the IRS advises taxpayers to use trusted tax professionals to avoid potential scams and schemes.
Looking Ahead: The Future of Tax Filing
The 2025 tax season represents a significant step forward in the IRS's ongoing modernization efforts. As the agency continues to implement new technologies and streamline processes, taxpayers can expect even more improvements in the coming years.
Commissioner Werfel's statement encapsulates this vision: "This has been a historic period of improvement for the IRS, and people will see additional tools and features to help them with filing their taxes this tax season. These taxpayer-focused improvements we've done so far are important, but they are just the beginning of what the IRS needs to do. More can be done with continued investment in the nation's tax system."
As the 2025 tax season approaches, taxpayers have more options and resources at their disposal than ever before. From expanded free filing options to improved digital tools and customer service, the IRS is striving to make the tax filing process more accessible and efficient for all Americans.
By staying informed about these changes and taking advantage of the new services offered, taxpayers can navigate the 2025 tax season with greater ease and confidence. As always, early preparation, careful attention to details, and utilization of official IRS resources will be key to a successful tax filing experience.
Remember, whether you're a seasoned tax filer or preparing your return for the first time, the IRS provides a wealth of information and assistance to help you through the process. With the official start date set for January 27, 2025, now is the time to begin gathering your documents and planning your approach to ensure a smooth and timely filing.