Americans are facing a long list of tax changes for the 2021 tax year. Smart taxpayers will start planning for them now.
Now that this year's tax filing season is over, it's time to start thinking about next year's return. After all, the more tax planning you do, the more money you may be able to save. But proper tax planning requires an awareness of what's new and changed from last year — and there are plenty of tax law changes and updates for the 2021 tax year that smart taxpayers need to know about.
The recent pandemic relief bills signed into law include a number of provisions that could impact your 2021 tax return. Other 2021 tweaks are the result of new rules or annual inflation adjustments. However, no matter how, when or why the changes were made, they can hurt or help your bottom line — so you need to be ready for them. To help you out, we pulled together a list of the most important tax law changes and adjustments for 2021 (some related items are grouped together). Use this information now so you can hold on to more of your hard-earned cash next April when it's time to file your 2021 tax return.