Small business owners have some good news on the horizon. The Inflation Reduction Act is bringing improvements to the IRS phone service and online options. These changes will make it easier for your business to file online and respond to IRS notices.
Here’s what small business owners can look forward to in the coming months:
1. Expanded Online Service Tools with Small Business Taxpayers in Mind
The IRS is creating Business Online Accounts. That will allow small businesses to access their tax information, schedule and track payments, and view business tax transcripts in an easy-to-read format. More features will be added to these accounts through 2024.
2. Easier Notice Responses
Small business owners will soon be able to better interact with certain IRS notices online. This includes notices like LTR0143C, which deals with missing signatures. The IRS plans to expand this service to cover other notices related to self-employment income correction, employment-related identity theft, and more. These notices will also come with clear instructions on steps taxpayers need to take, and get the help they need when they need it
3. Simplified, Mobile-Friendly Forms
The IRS is working on simplifying tax forms commonly used by small businesses, such as Forms 940, 941, and 944. These updated forms will be mobile-friendly and available in multiple languages, making it easier for small business owners who handle their own taxes.
4. Improved Processing Times and Faster Refunds
The IRS is making efforts to streamline its processes, automate paper-based tasks, and provide more online forms. This will result in quicker processing times and faster refunds for small business taxpayers. The IRS aims to scan millions of tax returns in 2023, making it a more efficient process.
Some of the forms that will be made available online include popular ones like Forms 1040 and 941. These changes are aimed at simplifying tax-related tasks for small business owners and enhancing their overall experience with the IRS.
