We are living in a world where things seem to be changing every day and it can be easy to be confused as to what you should or shouldn't do. Don't make tax season a headache and know if your deadlines, or income threshold for marginal tax rates has changed.
Given the rise of the Omicron virus and potential next wave of the Covid pandemic, there could be changes to these due dates as there have been in the past several years if the IRS determines this to be necessary. Stay tuned!
The standard deduction:
2022 marginal tax rates:
With the changes made by the IRS to payment app reporting requirements, the continuing crypto currency crackdown, and the above changes to marginal tax rates, and other tax thresholds, 2022 is shaping up to be a year where freelancers need to pay close attention to keeping their reporting up to date and being aware of new tax obligations coming this year.
Checking in with your tax professional now can help you navigate these changes and make sure you are on track with your current and future freelance business taxes.
Jonathan Medows is a certified public accountant licensed in New York, New Jersey, Maryland, and Pennsylvania. He is also a recognized expert in taxation for freelancers and the self-employed—often tapped for his expert knowledge and perspective on self-employment taxation by national and regional publications such as The New York Post, BusinessWeek, Forbes taxation blog, WebCPA, CPA Practice Advisor, and others. You can read some of Jonathan’s press coverage here.
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