IRS.gov has answers to tax questions on virtual currency transactions

Issue Number:​ 2022-01

Inside This Issue

  1. 2022 tax filing season begins January 24
  2. Final 2021 estimated tax payments due by January 18
  3. IRS.gov has answers to tax questions on virtual currency transactions
  4. Updates on early termination of the Employee Retention Credit
  5. Small Business Tax Workshop now available in seven languages
  6. A Closer Look: Serving taxpayers and the nation in 2021
  7. Report abusive tax promotions and schemes
  8. Other tax news

1.​ ​ 2022 tax filing season begins January 24


The IRS announced that the nation’s tax season will start on Monday, January 24, 2022, when the tax agency will begin accepting and processing 2021 tax year returns. IRS outlines refund timing and what to expect in advance of April 18, 2022,​ tax deadline.

The filing season information also covers:

  • People may need to file even if they don’t normally, to get credits from stimulus payments or to reconcile advanced payments of the Child Tax Credit
  • Getting access to information quickly through IRS’s online tax account
  • Filing accurately and getting refunds quickly

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2.​ ​ Final 2021 estimated tax payments due by January 18


The IRS urges taxpayers to pay any remaining 2021 estimated taxes by January 18, 2022.

The recent news release about estimated tax payments includes information on how paying now rather than waiting for the April filing deadline can help avoid possible estimated tax penalties, which apply when someone underpays their taxes.

Taxpayers who may need to make a payment to avoid a surprise tax bill include:

  • Those who itemized in the past but are now taking the standard deduction
  • Two wage-earner households
  • Employees with non-wage sources of income
  • Those with complex tax situations
  • Families who received advance payments of the Child Tax Credit during 2021 but don’t expect to qualify for the credit when they file their 2021 return

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3.​ ​ IRS.gov has answers to tax questions on virtual currency transactions


The sale or other exchange of virtual currencies, or the use of virtual currencies to pay for goods or services, or holding virtual currencies as an investment, generally has tax consequences that could result in tax liability. Check out the Frequently Asked Questions on Virtual Currency Transactions.

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4.​ ​ Updates on early termination of the Employee Retention Credit


The Infrastructure Investment and Jobs Act amends section 3134 of the Internal Revenue Code to limit the availability of the Employee Retention Credit in the fourth quarter of 2021 to taxpayers that are recovery startup businesses. Taxpayers that are not recovery startup businesses are not eligible for the Employee Retention Credit for wages paid after September 30, 2021. Visit IRS.gov for more information about the early termination of the Employee Retention Credit for most employers.

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5.​ ​ Small Business Tax Workshop now available in seven languages


The Small Business Tax​ Workshop helps small business owners learn their rights and tax responsibilities and is now available in English, Spanish, Chinese, Russian, Haitian Creole, Vietnamese, and Korean.

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6.​ ​ A Closer Look: Serving taxpayers and the nation in 2021


The most recent issue of A Closer Look features IRS Commissioner, Chuck Rettig sharing key agency accomplishments highlighted in the IRS Fiscal Year 2021 Progress Update. In addition, the 2021 annual report describes the agency’s work delivering taxpayer service and compliance efforts during the pandemic, while highlighting efforts taken by IRS employees to help taxpayers during the past year. The A Closer Look issue also touches on some of the ongoing challenges this year. “As the 2022 filing season approaches, more work remains for us to help taxpayers as well as tax professionals,” Rettig said.

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7.​ ​ Report abusive tax promotions and schemes


The IRS requests taxpayer assistance in identifying promoters of “too good to be true” abusive tax scams. Those who participate in schemes face significant penalties.

Common tax schemes include falsifying income, inflating home-based business deductions, abusive trusts and offshore schemes. Use the Report Suspected Abusive Tax Promotions or Preparers Form to make a referral to the IRS. Learn more at IRS.gov/scams.

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8.​ ​ Other tax news


The following information may be of interest to individuals and groups in or related to small businesses:

Disaster relief and updated FAQs

Reports and more

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