Three important changes to consider when filing your 2021 tax return

Federal Tax Return Time is Coming Soon, and You Need to Know Some changesthat will affect the payment of taxes for 2021, reports ABC 7Chicago.

The 2021 federal tax return deadline is April 18, 2022. But Tax Office The IRS recommends submitting documents in advance to avoid processing delays.

Tax credit for children

Families receiving advance payments on the Child Tax Credit this year will be required to follow up on Letter 6419 from the IRS. According to the IRS, these letters have already been sent.

The letter indicates the total amount of payments for the tax credit for children that taxpayers received in 2021.

On the subject: How to minimize your taxes in 2021: 10 steps you can take in a couple of days

IRS reports that Eligible families that did not receive monthly advance payments in 2021 can still receive a lump sum by claiming a child tax credit when they file their federal tax return for 2021.

Compensation for Coronavirus Aid

If, based on your 2020 declaration, you did not qualify for the third payment due to coronavirus or did not receive the full amount, you may be eligible for compensation for this payment (recovery loan) if your 2021 return shows eligible income levels.

To apply for this credit, you must file your 2021 tax return, even if you don't normally file it. The IRS will send you Letter 6475 in early 2022. The letter will indicate the total amount of the third coronavirus payment to which you are eligible.

Charity Contributions

Taxpayers may be eligible for a charity deduction. It is up to $ 600 for couples filing a joint return and up to $ 300 for those filing an individual return. Any charitable monetary contributions made in 2021 to eligible organizations can be deducted.

For the latest updates from the IRS, visit IRS website and find the IRS tax advice page.