Tax season 2024: When to file 2023 taxes, tax filing deadline, refund window and more info

The high of the holiday season is slowly wearing off, and we all know what the next item on the agenda is: tax season.

Although it’s probably not your favorite time of the year, you can avoid a future tax-fueled headache by preparing in advance. Here’s what to know about filing your 2023 tax return.

When can I file my taxes for 2023?

The Internal Revenue Service usually starts accepting federal tax returns in late January.

In Delaware, the Division of Revenue will begin processing 2023 individual state income tax returns on Jan. 23, said Melissa Marlin, deputy principal assistant with the Department of Finance.

When are 2023 taxes due?

Federal 2023 tax returns are due by Monday, April 15.

If you can’t file by then, you can file for an extension by filling out Form 2868 by April 15. This gives you an additional six months, to Tuesday, Oct. 15, to complete your tax return, according to the Consumer Financial Protection Bureau.

Tax returns can still be filed after April 15 without filing for an extension, but you may be subject to a penalty if you owe taxes.

The filing deadline in Delaware for personal income tax returns is Tuesday, April 30.

Delaware does not maintain reciprocity agreements with other states, so taxpayers who work in Delaware but are not Delaware residents need to file a Delaware tax return. Delaware residents who work out of state are required to file returns with Delaware in addition to the state where they worked, said Marlin.

How can I file my 2023 taxes?

You can file your taxes yourself or have them done for you, either by a paid preparer or from a free service provider.

If you generally make $60,000 a year or less, have a disability, have limited English skills or speak English as a second language or are 60 years of age or older, you may be eligible for in-person, full-service tax preparation for free through the IRS Volunteer Income Tax Assistance, the AARP Foundation Tax-Aide and the Tax Counseling for the Elderly programs, according to the Consumer Financial Protection Bureau.

If you need a filing extension, be sure to check which filing assistance programs will remain open past the April 15 deadline.

Individuals with an income of $73,000 or less may be eligible to prepare and file federal income tax returns for free through IRS Free File.

Service members may be able to prepare and file their tax returns for free through MilTax if they meet certain criteria.

Planning to use a paid tax preparer? The Consumer Financial Protection Bureau has some tips:

• Check the preparer’s qualifications using the IRS directory of federal tax return preparers.

• Check the preparer’s history. The local Better Business Bureau can help with this.

• Ask about all service fees and be wary of anyone bragging about getting bigger refunds than competitors.

• Make sure the preparer is available after April 15 in case you need follow-up help with your taxes after the deadline.

• Make copies of your tax filing documents. Preparers are not allowed to keep the originals of these documents or keep your ID to force you to use their service.

• Ensure the preparer signs the return and includes their Preparer Tax Identification Number, which all paid tax preparers are required to have and sign tax returns with by law.

During tax season, you’ll also need to be cautious of scams.

The IRS will never initiate contact with taxpayers by email, text message or social media channels to request personal or financial information, said the agency.

If you receive a phone call, email or other form of communication that you suspect is impersonating the IRS, do not share any information.

When will I get my 2023 tax refund?

The IRS expects to issue most refunds via direct deposit in less than 21 days, according to the agency, but some returns may require additional review that takes longer to process.

Issues that can cause your refund to be delayed according to the IRS include:

• If the taxpayer is claiming certain credits, like the Earned Income Tax Credit (EITC) or the Additional Child Tax Credit (ACTC).

• Whether the return is e-filed or sent by mail.

• If the taxpayer has existing debts to the federal government.

Electronically filing your tax return and choosing direct deposit is the fastest way to get your refund. For the issuance of paper checks, the IRS estimates a four- to six-week waiting period.

Remember, the wait for your tax return is based on when the IRS has received your return and entered it, which can be a few days after you submitted it electronically or a few weeks after mailing it in and the IRS has manually entered your information.

For taxpayers claiming the EITC or the ACTC on their tax returns, the IRS cannot issue refunds before mid-February. The IRS is required by law to hold the entire refund amount for dispersal, not just the portion associated with the EITC or ACTC.

Most EITC- and ACTC-related refunds are expected to be available by Feb. 27 for taxpayers who chose direct deposit and submitted returns without issues, according to the IRS.

Delaware taxpayers should note that refunds will not begin to be issued until Feb. 15 as a result of fraud prevention measures that protect Delaware taxpayers, said Marlin.

How to check the status of your 2023 tax return

Want to keep an eye on your 2023 tax return? You can check the status of your filed return, or find out why it may be delayed, by using the “Where’s My Refund?” tool on the IRS website or using the IRS2Go app.

Delaware also has a state tax refund locator that can help you figure out where your money is.

Important tax deadlines in 2024

The last quarterly payment for 2023 is due on Tuesday, Jan. 16. This applies to self-employed individuals or those with other income without any tax withholding who make quarterly estimated tax payments.

Employers must send W-2 forms to employers by Wednesday, Jan. 31. Although W-2s must be sent by this date, it does not mean you will necessarily receive your form by this date. If you are concerned about your W-2, contact your place of employment for more information.

Various 1099 forms and forms 1099-NED, 1099-MISC and 1099-K, which report payments that typically don’t come from an employer, must be sent by Jan. 31, too.

Other tax dates to keep in mind, according to TurboTax, include:

• Reclaim your exemption from withholding by filing a Form W-4 by Feb. 15. This would be filed if you anticipate having no tax liability this year and had none last year.

• Required minimum distribution is due by April 1 if you turned 73 in 2023. You have until this date to take your first required distribution from your retirement account.

• Contributions to your IRA and HSA for the 2023 tax year are due by April 15. After this date, you usually can’t make contributions for the previous tax year.

• After taking your first required minimum distribution in April, you also need to take your 2024 required minimum distribution by Dec. 31, 2024. This is the same deadline for anyone otherwise required to take a required minimum distribution.

If you live in an area hit by a natural disaster, you might qualify for tax relief. The IRS often postpones the tax filing deadlines for those who live or have a business in a federally declared disaster area, like when tax filing and payment deadlines were postponed for taxpayers impacted by the California wildfires in September 2020.

Quarterly tax due dates for 2024:

• First payment is due on April 15.

• Second payment is due on June 17.

• Third payment is due on Sept. 16.

• Fourth payment is due on Jan. 15, 2025.

If you choose the option to pay all of your previous year’s tax liability, unpaid taxes will be due when you file your 2024 individual tax return by the April 2025 deadline, according to TurboTax.

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Tax season updates

The IRS announced on Dec. 11 that the new $600 Form 1099-K reporting threshold for third-party settlement organizations has been delayed for calendar year 2023

This comes after feedback from taxpayers, payment processors and tax professionals and aims to reduce taxpayer confusion. The agency will treat 2023 as an additional transition year and reporting will not be required unless the taxpayer receives over $20,000 and has more than 200 transactions in 2023, the IRS said.

"Due to the complexity of the new provision and the large number of individual taxpayers affected,'' the IRS is planning a threshold of $5,000 for tax year 2024 as part of a phase-in to implement the $600 reporting threshold under the American Rescue Plan.

If you bought a vehicle in 2023, you should review the changes under the Inflation Reduction Act of 2022 to see if you qualify for the credits for new electric vehicles purchased in 2022 or before, or if you qualify for the credits for new clean vehicles purchased in 2023 or after.

To claim either credit, taxpayers must provide the vehicles VIN and file Form 8936 with their tax return.

If you made energy improvements to your home, tax credits are available for a portion of qualifying expenses, which have been expanded under the Inflation Reduction Act of 2022. To claim the credit, taxpayers need to file Form 5695 Part II with their return.

Got a tip or a story idea? Contact Krys'tal Griffin at kgriffin@delawareonline.com. 

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This article originally appeared on Delaware News Journal: When can I file my taxes for 2023? Tax season deadlines for 2024