Internal Revenue Service

Marko Geber | DigitalVision | Getty ImagesIf you didn't pay enough taxes in 2022, there's still time to avoid a "surprise tax bill" and bypass extra penalties, according to the IRS. The deadline for fourth-quarter estimated tax payments for 2022 is Jan. 17, which applies to income from self-employment, investments, gig economy work and more."It's where you can make yourself whole at the end of the year," said certified financial planner John Chichester Jr., founder and CEO of Chichester Financial Group in Phoenix.More…

This could be a very good year for one lucky winner of the fourth-largest jackpot in Mega Millions history.And yet, kicking off 2023 with $785 million could have a downside."The curse of the lottery losers is very real," said Andrew Stoltmann, a Chicago-based lawyer who has represented several recent lottery winners.One of the very first decisions a winner must make — whether to accept the jackpot as a lump sum or as an annuity — often ends up being their downfall, Stoltmann said.More from Personal Finance:4 key things to…

PayPal, Venmo, and other cash app users who depend on digital payment platforms for business transactions can breathe a temporary sigh of relief. The Internal Revenue Service has delayed the implementation of a tax code change that would’ve mandated declaration of any exchanges over $600 by one full year, according to a Friday news release. Currently, payments through apps and sites like Venmo, Etsy, StubHub, and Airbnb trigger the mandatory issue of a 1099-K form to a business user if their account accrues at least 200…

Hispanolistic | E+ | Getty ImagesIf you're worried about getting a tax form from payment apps like Venmo or PayPal, you're now less likely to receive one for 2022 — thanks to a change from the IRS.The agency on Friday announced a one-year delay for a new tax reporting rule, requiring payment services to issue Form 1099-K for business transfers over $600, and many tax experts have applauded the change.Before 2022, taxpayers and the IRS received 1099-Ks when payments crossed a threshold of more than 200 transactions worth…

Image: Chip Somodevilla (Getty Images)President Joe Biden’s administration implemented a change to the tax code earlier this year that impacts those who use services like Venmo, Etsy, StubHub, and Airbnb to collect money. The tax change was meant to ensure people are reporting all of their income to the Internal Revenue Service and will soon require payment app providers to issue users a 1099-K form for all business transactions if they total more than $600 per year. Prior to the change, the app would only be required to…

AsiaVision | E+ | Getty ImagesAs the tax season approaches, many Americans are bracing for a new reporting change for third-party payment networks like Venmo or PayPal.  Starting in 2022, you'll receive Form 1099-K, which reports income to the IRS, for business payments over $600. But experts say it's possible you'll receive 1099-Ks for personal transfers by mistake."As tax preparers, we are more or less expecting the worst," said Albert Campo, a certified public accountant and president of AJC Accounting Services in…

If you're eager to file your 2022 tax return in January or early February, the IRS has a warning: You'll need to wait for "key documents" before filing in 2023.In a release last week, the IRS urged "early filers" to watch for Form 1099-K, which reports income for third-party payment networks such as Venmo or PayPal."A little extra caution" could save time and effort, the agency said, because if you don't report 1099-K income, you may owe money and need to file an amended return.More from Personal Finance:Tax 'refunds may…

The end of the year is an important time for making financial decisions that can have an impact in the year ahead — and for years to come.From your work to your savings and investments to spending and giving back, here are five moves you should consider making before Dec. 31 that can help to prepare you for financial success in 2023:   1. Make sure you didn't pay too little tax on 2022 incomeCn0ra | Istock | Getty ImagesYou don't want to wind up paying interest and penalties or a big tax bill next year because you didn't…

Charday Penn | E+ | Getty ImagesIf you've accepted payments via apps such as Venmo or PayPal in 2022, you may receive Form 1099-K, which reports income from third-party networks, in early 2023. But there's still time to reduce your tax liability, according to financial experts. "There's no change to the taxability of income," the IRS noted in a release Tuesday about preparing for the upcoming tax season. "All income, including from part-time work, side jobs or the sale of goods is still taxable," the agency added.Before…

Tom Werner | DigitalVision | Getty ImagesCertain tax credits have been reduced One possible reason for a smaller tax refund is the child tax credit and the child and dependent care tax credit have been reduced for 2022, explained certified financial planner Cecil Staton, president and wealth advisor at Arch Financial Planning in Athens, Georgia.While both tax credits received a temporary boost through the American Rescue Plan of 2021, the enhanced tax breaks were not extended to 2022. "The big picture is a lot of people…