IRS Tax News

  • 07 Feb 2022 2:23 PM | Anonymous

    WASHINGTON − The IRS announced it will transition away from using a third-party service for facial recognition to help authenticate people creating new online accounts. The transition will occur over the coming weeks in order to prevent larger disruptions to taxpayers during filing season.

    During the transition, the IRS will quickly develop and bring online an additional authentication process that does not involve facial recognition. The IRS will also continue to work with its cross-government partners to develop authentication methods that protect taxpayer data and ensure broad access to online tools.

    “The IRS takes taxpayer privacy and security seriously, and we understand the concerns that have been raised,” said IRS Commissioner Chuck Rettig. “Everyone should feel comfortable with how their personal information is secured, and we are quickly pursuing short-term options that do not involve facial recognition.”

    The transition announced today does not interfere with the taxpayer’s ability to file their return or pay taxes owed. During this period, the IRS will continue to accept tax filings, and it has no other impact on the current tax season. People should continue to file their taxes as they normally would.


  • 04 Feb 2022 12:44 PM | Anonymous

    WASHINGTON – As part of a larger effort to help people during this year’s filing season, the Internal Revenue Service today announced special Saturday hours at many Taxpayer Assistance Centers (TACs) across the country.

    TACs provide taxpayers with in-person help. Select TACs are open from 9 a.m. to 4 p.m., February 12, March 12, April 9 and May 14. Normally, these centers are not open on Saturdays. No appointments are required.

    “The IRS continues to do everything we can to help people during this unprecedented period,” said IRS Commissioner Chuck Rettig. “Opening these assistance centers for special Saturday hours is designed to provide yet another way for people to get the help they need. We encourage people to review the details on these special Saturday hours so we can help serve them. I’m also extremely grateful to our employees who have stepped up to provide this special assistance.”

    People can receive walk-in help on all services, however, the TACs will not accept cash payments on these Saturdays. During the extra operating hours, people can also ask about reconciling advance Child Tax Credit payments and receive other help.

    To see which TACs will be open, visit IRS.gov/saturdayhours.

    Come prepared
    To arrive prepared, individuals should bring the following information:

    • Current government-issued photo identification,
    • Social Security cards for members of their household, including spouse and dependents (if applicable) and
    • Any IRS letters or notices received and related documents.

    During the visit, IRS staff may also request the following information:

    • A current mailing address,
    • An email address and
    • Bank account information, to receive payments or refunds by direct deposit.

    “We encourage people to receive payments and their tax refunds via direct deposit, which is faster and more secure than other payment methods,” said IRS Wage & Investment Commissioner and Taxpayer Experience Officer Ken Corbin. “People who don't have a bank account should visit the Federal Deposit Insurance Corporation website for details on opening an account online. They can also use the FDIC's BankFind tool to find an FDIC-insured bank.”

    BankOn, American Bankers Association, Independent Community Bankers of America, National Credit Union Administration have lists of banks and credit unions that allow opening an account online. Veterans can use the Veterans Benefits Banking Program to learn about financial services at participating banks.

    Services provided
    The IRS’s Contact Your Local Office site lists all services provided at specific TACs.

    If someone has a question(s) about a tax bill or an IRS audit, or needs help resolving a tax problem, they will receive assistance from IRS employees specializing in these services. If these employees are not available, the individual will receive a referral for these services. Taxpayer Advocate Service employees may also be available to assist with issues that meet certain criteria.

    IRS staff will schedule appointments for a later date for Deaf or Hard of Hearing individuals who need sign language interpreter services. Foreign language interpreters will also be available.

    The IRS follows Centers for Disease Control social distancing guidelines for COVID-19, and availability may change without notice. People are required to wear face masks and social distance at these events.

    People who need assistance preparing tax returns can visit a Volunteer Income Tax Assistance Center (VITA) or Tax Counseling for the Elderly location. VITA sites offer free tax help to qualified individuals who need assistance in preparing their own tax returns, including:

    • People who earn $58,000 or less,
    • Persons with disabilities and
    • Limited English-speaking taxpayers.

    People who need to pay their federal taxes with cash can visit IRS.gov/payments to get information on several payment options.

    More information:


  • 03 Feb 2022 1:19 PM | Anonymous

    WASHINGTON – As the new year begins, the Internal Revenue Service reminds taxpayers to protect their personal and financial information throughout the year and watch out for IRS impersonation scams, along with other schemes, that try to trick people out of their hard-earned money.

    These schemes can involve text message scams, e-mail schemes and phone scams. This tax season, the IRS also warns people to watch out for signs of potential unemployment fraud.

    “With filing season underway, this is a prime period for identity thieves to hit people with realistic-looking emails and texts about their tax returns and refunds,” said IRS Commissioner Chuck Rettig. “Watching out for these common scams can keep people from becoming victims of identity theft and protect their sensitive personal information that can be used to file tax returns and steal refunds.”

    The IRS, state tax agencies and the nation’s tax industry – working together in the Security Summit initiative – have taken numerous steps since 2015 to protect taxpayers, businesses and the tax system from identity thieves. Summit partners continue to warn people to watch out for common scams and schemes this tax season.

    Text message scams
    Last year, there was an uptick in text messages that impersonated the IRS. These scams are sent to taxpayers’ smartphones and have referenced COVID-19 and/or “stimulus payments.” These messages often contain bogus links claiming to be IRS websites or other online tools. Other than IRS Secure Access, the IRS does not use text messages to discuss personal tax issues, such as those involving bills or refunds. The IRS also will not send taxpayers messages via social media platforms.

    If a taxpayer receives an unsolicited SMS/text that appears to be from either the IRS or a program closely linked to the IRS, the taxpayer should take a screenshot of the text message and include the screenshot in an email to phishing@irs.gov with the following information:

    • Date/time/time zone they received the text message
    • Phone number that received the text message

    The IRS reminds everyone NOT to click links or open attachments in unsolicited, suspicious or unexpected text messages – whether from the IRS, state tax agencies or others in the tax community.

    Unemployment fraud
    As a new tax season begins, the IRS reminds workers to watch out for claims of unemployment or other benefit payments for which they never applied. States have experienced a surge in fraudulent unemployment claims filed by organized crime rings using stolen identities. Criminals are using these stolen identities to fraudulently collect benefits.

    Because unemployment benefits are taxable income, states issue Form 1099-G, Certain Government Payments, to recipients and to the IRS to report the amount of taxable compensation received and any withholding. Any worker receiving a fraudulent or inaccurate 1099-G should report it to the issuing state agency and request a corrected Form 1099-G.

    For details on how to report fraud to state workforce agencies, how to obtain a corrected Form 1099-G, how to find a list of state contacts and other steps to take related to unemployment fraud, taxpayers can visit the U.S. Department of Labor’s DOL.gov/fraud page.

    Individuals may be victims of unemployment identity theft if they received:

    • Mail from a government agency about an unemployment claim or payment for which they did not file. This includes unexpected payments or debit cards and could be from any state.
    • An IRS Form 1099-G reflecting unemployment benefits they weren't expecting or didn’t receive. Box 1 on this form may show unemployment benefits they did not receive or an amount that exceeds their records for benefits they did receive. The form itself may be from a state in which they did not file for benefits.

    A notice from their employer indicating the employer received a request for information about an unemployment claim.

    Email phishing scams
    The IRS does not initiate contact with taxpayers by email to request personal or financial information. The IRS initiates most contacts through regular mail delivered by the United States Postal Service.

    If a taxpayer receives an unsolicited email that appears to be from either the IRS or a program closely linked to the IRS that is fraudulent, report it by sending it as an attachment to phishing@irs.gov. The Report Phishing and Online Scams page at IRS.gov provides complete details.

    There are special circumstances when the IRS will call or come to a home or business. These visits include times when a taxpayer has an overdue tax bill, a delinquent tax return or a delinquent employment tax payment. The IRS may also visit if it needs to tour a business as part of a civil investigation (such as an audit or collection case) or during a criminal investigation. The IRS provides specific guidance on how to know it’s really the IRS knocking on your door.

    Phone scams
    The IRS does not leave pre-recorded, urgent or threatening messages. In many variations of the phone scam, victims are told if they do not call back, a warrant will be issued for their arrest. Other verbal threats include law-enforcement agency intervention, deportation or revocation of licenses.

    Criminals can fake or “spoof” caller ID numbers to appear to be anywhere in the country, including from an IRS office. This prevents taxpayers from being able to verify the true call number. Fraudsters also have spoofed local sheriff’s offices, state departments of motor vehicles, federal agencies and others to convince taxpayers the call is legitimate.

    The IRS (and its authorized private collection agencies) will never:

    • Call to demand immediate payment using a specific payment method such as a prepaid debit card, gift card or wire transfer. The IRS does not use these methods for tax payments.
    • Threaten to immediately bring in local police or other law-enforcement groups to have the taxpayer arrested for not paying.
    • Demand that taxes be paid without giving the taxpayer the opportunity to question or appeal the amount owed.
    • Ask for credit or debit card numbers over the phone.

    Generally, the IRS will first mail a bill to any taxpayer who owes taxes. All tax payments should only be made payable to the U.S. Treasury and checks should never be made payable to third parties.

    For anyone who doesn’t owe taxes and has no reason to think they do:

    For anyone who owes tax or thinks they do:

    • View tax account information online at IRS.gov to see the actual amount owed. Taxpayers can also review their payment options.
    • Call the number on the billing notice or
    • Call the IRS at 800-829-1040. IRS employees can help.

    Help for victims of ID theft
    Unfortunately, scams and schemes can often lead to identity theft. While identity theft can have many consequences, the IRS focuses on tax-related identity theft.

    Tax-related identity theft occurs when someone uses an individual’s stolen Social Security number (SSN) to file a tax return claiming a fraudulent refund. Taxpayers may be unaware of this activity until they e-file a tax return and discover that a return has already been filed using their SSN. Or, the IRS may send them a letter saying it has identified a suspicious return using their SSN.

    If a taxpayer learns their SSN has been compromised, or they know or suspect they are a victim of tax-related identity theft, the IRS recommends these additional steps:

    • Individuals should respond immediately to any IRS notice; call the number provided.
    • Taxpayers should complete IRS Form 14039, Identity Theft Affidavit (.pdf), if an e-file tax return rejects because of a duplicate filing under their SSN or they are instructed to do so by the IRS. Individuals can use a fillable form at IRS.gov, then print and attach the form to their paper return and mail according to instructions.
    • Victims of tax-related identity theft should continue to pay their taxes and file their tax return, even if they must do so by paper.
    • Taxpayers who previously contacted the IRS about tax-related identity theft and did not have a resolution should call for specialized assistance at 1-800-908-4490.

    More information is available at: IRS.gov/identitytheft or the Federal Trade Commission’s identitytheft.gov.

    The official IRS website is IRS.gov. People should be aware of imitation websites ending in .com. This applies to other IRS tools, too, like Free File- they all end in .gov.

    For more information, visit Tax Scams and Consumer Alerts on IRS.gov. Additional information about tax scams is available on IRS social media sites, including YouTube videos.

    More information:


  • 03 Feb 2022 7:46 AM | Anonymous

    WASHINGTON – The Internal Revenue Service today updated its frequently asked questions (FAQs) on 2020 Recovery Rebate Credit (FS-2022-08) PDF.

    This updated FAQ includes a revision to the information on tracing payments under Topic F: Finding the First and Second Economic Impact Payment Amounts to Calculate the 2020 Recovery Rebate Credit:

    • Question 8, Topic F: updated

    These FAQs are being issued to provide general information to taxpayers and tax professionals as expeditiously as possible.

    More information about reliance is available.

    More information on the Recovery Rebate Credit is available on IRS.gov.


  • 01 Feb 2022 1:33 PM | Anonymous

    WASHINGTON — Now that the 2022 tax season is open, the Internal Revenue Service reminds taxpayers to make sure they’ve got what they need before they file and to consider free resources available to help them get organized.

    This news release is part of a series called the Tax Time Guide, a resource to help taxpayers file an accurate tax return. Additional help is available at IRS.gov or in Publication 17, Your Federal Income Tax.

    Don’t file before ready
    While taxpayers should not file late, they also should not file prematurely. People who file before they receive all the proper tax reporting documents risk making a mistake that may lead to processing delays.

    Typically, year-end forms start arriving by mail – or are available online – in January. Taxpayers should review them carefully. If any of the information shown is inaccurate or not available, taxpayers should contact the payer right away for a correction or to ensure they have their current mailing or email address.

    New this year, the IRS sent Letter 6419, Advance Child Tax Credit Reconciliation, in January 2022 to help individuals reconcile and receive the full amount of their 2021 Child Tax Credit. This letter includes the total amount of the 2021 advance Child Tax Credit payments issued and the number of qualifying children used to calculate their advance payments. People need this important information to accurately claim the other half of the 2021 Child Tax Credit when filing their 2021 tax return and prevent delays in processing. The IRS reminds people to check this information carefully.

    Most eligible people were already issued their third Economic Impact Payment and won’t include any information about it when they file. However, people who didn't qualify for a third payment or did not receive the full amount may be eligible for the 2021 Recovery Rebate Credit based on their 2021 tax situation. They will need the total amount of their third Economic Impact Payment to file an accurate tax return to avoid a processing delay. Taxpayers can sign into their IRS Online Account to view the total amount of the third-round Economic Impact Payment or wait to receive IRS Letter 6475.

    Individuals not required to file must file a tax return to claim important tax credits
    The IRS strongly encourages individuals who are not required to file a tax return to file one this season to claim potentially thousands of dollars in tax credits. By filing a tax return, individuals could claim:

    • The Recovery Rebate Credit to receive any remaining 2021 stimulus payments that they might not have received (for example, if they added a new child or other dependent in 2021);
    • The remaining Child Tax Credit for which they are eligible, including any monthly payments that they might not have received (for example, if they added a new qualifying child in 2021); and
    • The Earned Income Tax Credit, the federal government’s largest refundable tax credit for low- to moderate-income families (the amount of which has been nearly tripled for filers without children).

    View IRS account information online
    Individuals can use their IRS Online Account to securely access information about their federal tax account, including payments, tax records and more.

    To help with filing a return, individuals can view:

    • The total amounts of Economic Impact Payments issued for tax year 2021
    • The total amount of advance Child Tax Credit payments
    • Their adjusted gross income from their last tax return
    • The total of any estimated tax payments they made, and refunds applied as a credit

    They can also now make and track payments and manage communication preferences, including the option to go paperless and request email notifications for certain notices available online. Taxpayers are encouraged to register for an online account, if they haven’t already, or sign in to access this information and explore these new features.

    Important 2021 Tax Documents
    Organized tax records make preparing a complete and accurate tax return easier and may help taxpayers find overlooked deductions or credits.

    Taxpayers should wait to file until they have all their supporting income statements including but not limited to:

    Free help
    Once taxpayers have collected all their tax documents and information, they’re ready to consider how they will file.

    IRS Free File is a great option for eligible taxpayers who are only filing a tax return to reconcile 2021 advance payments and claim the remaining portion of their Child Tax Credit or to claim the 2021 Recovery Rebate Credit, either because they didn't receive a third-round Economic Impact Payment or did not receive the full amount. IRS Free File can also be used to claim the Earned Income Tax Credit, which provides a refundable tax credit based on a filer's income and family size.

    IRS Free File is available to any person or family who earned $73,000 or less in 2021. This year, there are eight IRS Free File products in English and one in Spanish.

    Taxpayers can use a "look up" tool to choose from one of the Free File Providers. Each provider sets its own eligibility standards, generally based on income, age and state residency giving taxpayers who earned $73,000 or less at least one product to use for free.

    Free File is just one way the IRS provides free tax preparation options to taxpayers through a partnership model. The IRS also partners with community organizations to train IRS-certified volunteers to prepare and electronically file basic income tax returns for qualified individuals for free.

    Qualified taxpayers who generally make $58,000 or less, persons with disabilities and limited English-speaking taxpayers who need help preparing their own tax returns can get free tax help at one of thousands of community volunteer sites through the Volunteer Income Tax Assistance (VITA) program.

    And the Tax Counseling for the Elderly (TCE) program offered by AARP, offers free tax help for all taxpayers, particularly those who are 60 and older, specializing in questions about pensions and retirement-related issues unique to seniors.

    Members of the military and qualifying veterans can use MilTax, a Department of Defense program that generally offers free online tax preparation and e-filing software for federal returns and up to three state returns.

    New alternative media preference to help taxpayers
    Beginning Jan.31, 2022, taxpayers can complete Form 9000, Alternative Media Preference, to choose to receive their IRS tax notices in Braille, large print, audio or electronic formats. This includes notices about additional taxes or penalties owed. Taxpayers can include the completed form with their tax return, mail it as a standalone form to the IRS or call 800-829-1040 to elect their preferred format.

    As a reminder, Forms 1040 and 1040-SR are available in Spanish, and Schedule LEP, Request for Change in Language Preference, allows taxpayers to request information in 20 different languages besides English.

    E-file and choose direct deposit
    The IRS encourages taxpayers to file electronically and use direct deposit to get their refunds. Combining e-file with direct deposit is the safest and fastest way to receive a refund. Taxpayers can file electronically through a tax professional, IRS Free File or commercial tax preparation software. When choosing e-file and direct deposit, most people receive their refunds in less than 21 days.

    People who don’t have a bank account can visit the FDIC website or use the National Credit Union Administration’s Credit Union Locator Tool to find an institution that allows them to open an account online and for tips on how to choose the right account. Veterans can check out the Veterans Benefits Banking Program for access to financial services at participating banks. Taxpayers can also ask their preparer if they offer other electronic refund options.

    Although most refunds are delivered in 21 days, it could take longer if the tax return includes errors, is incomplete or requires further security review. Paper-filed tax returns and paper refund checks will take even longer this year.


  • 01 Feb 2022 10:52 AM | Anonymous

    WASHINGTON — The Internal Revenue Service today updated its frequently asked questions (FAQs) for the 2021 Child Tax Credit and Advance Child Tax Credit Payments.

    This updated FAQ modifies a question and adds a new question (FS-2022-07) PDF:

    • Question 4, Topic H: Reconciling Your Advance Child Tax Credit Payments on Your 2021 Tax Return
    • Question 10, Topic H: Reconciling Your Advance Child Tax Credit Payments on Your 2021 Tax Return

    These FAQs are being issued to provide general information to taxpayers and tax professionals as expeditiously as possible.

    More information about reliance is available.


  • 31 Jan 2022 4:30 PM | Anonymous

    These frequently asked questions (FAQs) are released to the public in Fact Sheet 2022-06 PDF, January 31, 2022.

    The American Rescue Plan Act (ARPA) of 2021 expanded the Child Tax Credit (CTC) for tax year 2021 only. These Child Tax Credit FAQs focus on information helpful to taxpayers preparing their tax year 2021 tax returns.

    Recipients of advance Child Tax Credit payments will need to compare the amount of payments received during 2021 with the amount of the Child Tax Credit that can be claimed on their 2021 tax return.

    Those that received less than the amount they are eligible for can claim a credit for the remaining amount. Those that received more than they are eligible for may need to repay some or all of the excess amount.

    The IRS has sent Letter 6419 in January of 2022 to provide the total amount of advance Child Tax Credit payments that were received in 2021. The IRS urges taxpayers receiving these letters to make sure they hold onto them to assist them in preparing their 2021 federal tax returns in 2022.

    These FAQs contain the following topics:

    • Topic A: 2021 Child Tax Credit Basics
    • Topic B: Eligibility Rules for Claiming the 2021 Child Tax Credit on a 2021 Tax Return
    • Topic C: Reconciling Advance Child Tax Credit Payments and Claiming the 2021 Child Tax Credit on Your 2021 Tax Return
    • Topic D: Claiming the 2021 Child Tax Credit If You Don’t Normally File a Tax Return
    • Topic E: Commonly Asked Immigration-Related Questions

    More information about reliance is available.


  • 31 Jan 2022 12:57 PM | Anonymous

    Revenue Procedure 2022-14 provides the List of Automatic Changes to which the automatic change procedures apply.  

    Revenue Procedure 2022-14 will be published in Internal Revenue Bulletin 2022-7 on Feb. 14, 2022.


  • 28 Jan 2022 2:30 PM | Anonymous

    Notice 2022-08 sets forth the 2022 Cumulative List of Changes in Section 403(b) Requirements for Section 403(b) Pre-approved Plans (2022 Cumulative List). The 2022 Cumulative List will assist providers of section 403(b) pre-approved plans applying to the IRS for opinion letters for the second remedial amendment cycle (Cycle 2) under the IRS’s section 403(b) pre-approved plan program. The 2022 Cumulative List identifies changes in the requirements of section 403(b) that will be taken into account by the IRS with respect to a plan document submitted to the IRS for Cycle 2 and that were not taken into account during the first remedial amendment cycle.

    Notice 2022-08 will be in IRB:  2022-7, dated 02/14/2022.


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