Preparing for tax day

Use these tips to help you prepare for your appointment
What should you do to prepare for your appointment?

Tax documents to upload to the client portal:

  • Any and all W2s, 1098s, 1099, 8606 and 1095s and other statements of income
  • Business expense records
  • Rental property information – rents, expenses, statements, purchase/sales closing documents
  • Charitable donation statements (tallies of long lists always appreciated!)
  • Health coverage payments for self employed
  • Retirement contribution information
  • Investment account statements if a distribution was received. If no distribution received, only for Traditional or Roth IRAs
  • Images of front and back of current driver’s license or state ID
  • Prior year return (new clients only)
  • Updated address information if you have moved in the last year
  • Updated dependent information if anything has changed since last year
  • Contributions to College Savings Plans, HSAs, etc.
  • If you received unemployment benefits, you will receive a 1099-G that will need to be included
  • If you received stimulus funds in 2021, please leave a note with the date of receipt and how much as this is reported on the new 1040 forms
  • Advance Child Tax Credit payment
  • Word document with any outstanding questions and notes, bank information, and tax agency login information

Links to create tax agency logins:

IRS: https://www.irs.gov/payments/your-online-account

Illinois: https://mytax.illinois.gov/_/

Request a Letter ID: https://mytax.illinois.gov/_/#0

LLC/SCorp clients:

  • Car expenses and mileage
  • Office expenses, including rent, utilities, etc.
  • Office supplies, including computers, software, etc.
  • Health insurance premiums
  • Business phone bills
  • Continuing education courses
  • Parking for business-related trips
  • Business-related travel expenses, including flights, rental cars,
    hotels, etc.
  • Postage
  • Receipts – Spreadsheet tallies are appreciated.

Download our income-expense tracking template!

 

(Use our handy IRS document search tool for your documents)

How can I check on my tax refunds? Tax Related Web-sites/phone numbers: IRS www.irs.gov IRS Get Refund Status IRS Inquiry Phone: (800) 829-1040

Current Tax rates

Current rates information provided by IRS

2021 Tax Brackets

Income Tax Brackets and Rates

For 2021, income limits for all tax brackets as well as all filers will be adjusted for inflation. The top marginal income tax rate of 37 percent will hit taxpayers with taxable income of $523,600 and higher for single filers and $628,300 and higher for married couples filing jointly (SEE Table 1).

All income ranges for each rate have been adjusted for inflation.

Table 1. Tax Brackets and Rates, 2021 (Source: IRS)

Rate
Single Individuals – Taxable Income Over
Married Individuals Filing Joint Returns – Taxable Income Over
Heads of Households – Taxable Income Over
10%
Up to $9,950
Up to $19,900
Up to $14,200
12%
$9,951 to $40,525
$19,901 to $81,050
$14,201 to $54,200
22%
$40,526 to $86,375
$81,051 to $172,750
$54,201 to $86,350
24%
$86,376 to $164,925
$172,751 to $329,850
$86,351 to $164,900
32%
$164,926 to $209,425
$329,851 to $418,850
$164,901 to $209,400
35%
$209,426 to $523,600
$418,851 to $628,300
$209,401 to $523,600
37%
Over $523,600
Over $628,300
Over $523,600

Standard Deduction and Personal Exemption

Standard deductions for single filers has increased by $150; $300 for married couples filing jointly (SEE Table 2). The personal exemption for 2021 remains eliminated.

Table 2. 2021 Standard Deduction and Personal Exemption (Source: IRS)

Filing Status Deduction Amount
Single $12,500
Married Filing Jointly $25,100
Head of Household $18,800

2022 Tax Brackets

Income Tax Brackets and Rates

2022 income limits for all tax brackets and all filers, adjusted for inflation. Seven federal income tax rates in 2022 are as follows: 10 percent, 12 percent, 22 percent, 24 percent, 32 percent, 35 percent, and 37 percent. The marginal income tax rate of 37 percent will only apply to taxpayers with taxable income above $539,900 (single filers), and $647,850 is the target for married couples filing jointly. (SEE Table 1)

Table 1. Tax Brackets and Rates, 2022 (Source: IRS)

Rate
Single Individuals – Taxable Income Over
Married Individuals Filing Joint Returns – Taxable Income Over
Heads of Households – Taxable Income Over
10%
Up to $10,275
Up to $20,550
Up to $14,650
12%
$10,275 to $41,775
$20,550 to $83,550
$14,650 to $55,900
22%
$41,775 to $89,075
$83,550 to $178,150
$55,900 to $89,050
24%
$89,075 to $170,050
$178,150 to $340,100
$89,050 to $170,050
32%
$170,050 to $215,950
$340,100 to $431,900
$170,050 to $215,950
35%
$215,950 to $539,900
$431,900 to $647,850
$215,950 to $539,900
37%
Over $539,900
Over $647,850
Over 539,900

Standard Deduction and Personal Exemption

Standard deductions for single filers has increased by $400; $800 for married couples filing jointly. The personal exemption for 2022 remains eliminated (this is due to the personal exemption from the Tax Cuts and Jobs Act 2017.)

Table 2. 2022 Standard Deduction and Personal Exemption (Source: IRS)

Filing Status Deduction Amount
Single $12,950
Married Filing Jointly $25,900
Head of Household $19,400

Tax Tools & Financial Calculators

All tools provided by CalcXML and the IRS

Important Tax Dates for 2022

IRS official tax dates you need to stay on top of your taxes.

FILING DATES

2022 E-filing Dates

  • TBD – IRS begins accepting and processing e-filed returns and extensions
  • April 18 – Tax Day – Last day to e-file returns and extensions
  • October 15 – Last day to e-file returns with a 6-month extension

2022 Estimated Tax Payment Dates

  • January 18 – Make last 2021 estimated tax payment
  • April 18 – First 2022 estimated tax payment due
  • June 15 – Second 2022 estimated tax payment due
  • September 15 – Third 2022 estimated tax payment due

Tax Document Dates

  • January 31, 2022 – Deadline for employers to file Form W-2s with the IRS, unless filed electronically (e-file deadline March 31)
  • January 31, 2022 – Deadline for reporting payments to contract workers on Form 1099-MISC

2022 Federal Legal Holidays

  • Saturday, January 1 – New Year’s Day
  • Monday, January 17 – Martin Luther King Jr.’s Birthday
  • Monday, February 21 – President’s Day
  • Monday, May 30 – Memorial Day
  • Sunday, June 19 – Juneteenth National Independence Day 
  • Monday, July 4 – Independence Day
  • Monday, September 5 – Labor Day
  • Monday, October 10 – Columbus Day
  • Friday, November 11 – Veterans’ Day
  • Thursday, November 24 – Thanksgiving Day
  • Sunday, December 25 – Christmas Day

Tax Calculators – Provided by CalcXML

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CONTACT US

5100 N Ravenswood Ave Suite 104
Chicago, IL 60640
PHONE: 773-683-1953
EMAIL: info@ledgergeneral.com