ODESSA, Texas (Nexstar) – It’s that time of year again! Individuals can file their taxes today, 17 days earlier than last year. According to local tax preparer, Hugo Corral of Olivas Bookkeeping and Tax Services, this year’s tax season will be very different than in years past due to the pandemic and the child tax credit.
“In my opinion, this tax season, the most important thing will probably be the advance that some families have gotten on their child tax credits…over the past 6 months, some families may have gotten depending on of the number of dependents they have, some might have had 300. per eligible child, some might have had 250,” Corral says.
The IRS said that as of December 2021, more than 6 million tax returns are pending. Corral believes that this tax season there could be a significant backlog in filing for several reasons and recommends that you file as early as possible to avoid a long backlog in your returns.
“The most important thing I ask of my clients is to be patient because we can’t do much and the taxman can’t do much,” Corral says.
Corral told us that a number of its clients prefer to submit their taxes online. In his experience when filing online, Corral says he’s seen people get their returns a little earlier than those who file by hand. Oliva’s accounting and tax services offer both in-person tax services and an online portal.
This year, Corral says the IRS taxes cryptocurrency, Bitcoin, and other online currencies, so he recommends people report it on their taxes to get an accurate return.
“If you sell or convert crypto, the IRS starts doing that, they want you to report all of that, so stocks, crypto, make sure you have your proper tax documents,” Corral says.
According to the IRS, this tax season will run from January 24 to April 18.