IRS Announces January 27 as the Start of the 2025 Tax Season: What You Need to Know
The 2025 tax season is just around the corner, and the Internal Revenue Service (IRS) has officially marked January 27 as the starting date. With over 140 million tax returns expected to be filed before the April 15, 2025, deadline, the IRS is rolling out several new initiatives to make the tax process simpler, faster, and more accessible for everyone.
This year’s tax season isn’t just about deadlines—it’s about improvements. The IRS is entering a new era of modernization with a focus on technology upgrades, expanded customer service, and free filing options. Here’s everything you need to know.
A Leap Towards Modern Tax Filing
The IRS is utilizing substantial funding from the Inflation Reduction Act to revolutionize its operations. Among its key initiatives is the Direct File program, which allows taxpayers to file their taxes directly with the IRS for free—no need for third-party software or services.
In 2024, this program was piloted in 12 states, offering free filing to individuals with straightforward W-2 incomes. This year, the IRS has expanded the program to 25 states, making it accessible to millions more taxpayers.
Through the pilot program last year, participants successfully claimed over $90 million in refunds, and the IRS expects even greater participation and satisfaction in 2025.
Faster Refunds, Easier Access
Taxpayers can rest assured that the IRS is prioritizing speed and efficiency. Most refunds for e-filed returns will be processed within 21 days, while paper returns may take up to four weeks.
For those eager to track their refunds, the Where’s My Refund? tool provides updates within 24 hours of e-filing. This online feature has become a go-to for taxpayers, offering real-time insights into their refund status
The IRS is committed to improving taxpayer support during this filing season. It plans to offer 10,000 additional office hours and expand its rural outreach program by 20%, ensuring that even those in remote areas have access to tax preparation services.
To further simplify the filing process, the IRS has revamped its communication materials, making tax notifications clearer and easier to understand.
Don’t Miss Out on Tax Benefits
One of the most underutilized tax benefits is the Earned Income Tax Credit (EITC). IRS Commissioner Daniel Werfel has highlighted the importance of this credit, which is designed to support low- and moderate-income earners. Unfortunately, nearly 20% of eligible taxpayers fail to claim it due to a lack of awareness.
The IRS is making efforts to raise awareness about the EITC and other credits, ensuring that taxpayers get every dollar they’re entitled to.
Beware of Tax Scams
Tax season also brings an increase in scams, with fraudsters trying to exploit unsuspecting taxpayers. The IRS advises everyone to stay vigilant against fake promises of tax help or penalties. Always verify any communication with the IRS through its official website, IRS.gov, where you can also find a dedicated section on tax scams for the latest alerts.
A Historic Period for the IRS
The IRS has made remarkable strides in recent years, driven by significant investments in technology and staffing. Commissioner Werfel called this a “historic period of improvement” for the agency, emphasizing that sustained funding is critical for maintaining and expanding these advancements.
FAQs: Your Tax Season Questions Answered
Q1: When does the 2025 tax season begin, and what is the deadline?
The 2025 tax season begins on January 27, 2025, and the filing deadline is April 15, 2025.
Q2: What is the Direct File program, and how can I use it?
The Direct File program allows eligible taxpayers to file their tax returns directly with the IRS for free. It’s available in 25 states starting this year.
Q3: How quickly can I expect my refund?
Most refunds for e-filed returns are issued within 21 days, while paper returns may take longer—typically four weeks.
Q4: What is the Earned Income Tax Credit (EITC), and how can I benefit from it?
The EITC is a valuable tax credit for low- to moderate-income taxpayers. To check eligibility and claim the credit, visit IRS.gov/EITC.
Q5: How can I protect myself from tax scams?
Stay alert for fraudulent emails, calls, or texts claiming to be from the IRS. Use IRS.gov/scams for tips on identifying and avoiding scams.
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