01/03/2023
Important Changes for the 2023 Tax Filing Season:
Decreased Tax Credits for Parents and Low Income Taxpayers - Taxpayers will likely receive a significantly smaller refund compared with the previous tax year due to changes to amounts for the Child Tax Credit (CTC), Earned Income Tax Credit (EITC) and Child and Dependent Care Credit.
• Those who got $3,600 per dependent in 2021 for the CTC will, if eligible, get $2,000 for the 2022 tax year.
• For the EITC, eligible taxpayers with no children who received roughly $1,500 in 2021 will now get $500 in 2022.
• The Child and Dependent Care Credit returns to a maximum of $2,100 in 2022 instead of $8,000 in 2021.
No above-the-line charitable deductions. During COVID, taxpayers who took the standard deduction could take up to a $600 charitable donation tax deduction on their tax returns. However, for the 2022 tax year, those who take a standard deduction may not take an above-the-line deduction for charitable donations.
Our office will re-open January 17th for the tax filing season, and the IRS will accept electronic filing beginning January 24th.