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Businesses will file a new information return next year: Form 1099-NEC will be used by firms to report 2020 payments of compensation to nonemployees in excess of $600. These payments were reported on Form 1099-Misc in prior years.

Boost your federal income tax withholding if you expect to owe for 2020. It can help avoid an underpayment penalty.

The basic Medicare Part B monthly premium will rise for 2021 to $148.50.

Many key dollar limits on retirement plans will remain the same in 2021. The maximum 401(k) contribution stays at $19,500. People born before 1972 can contribute an extra $6,500. These amounts apply to 403(b) and 457 plans as well.

The 2021 payin cap for traditional IRAs and Roth IRAs stays steady at $6,000.

Social Security recipients get a 1.3% increase in their benefits in 2021.

The Social Security wage base rises next year to $142,800, a $5,100 hike. The Social Security tax rate on employers and employees stays put at 6.2%.

Third quarter payroll payments are due October 31, 2020.

Don't waste the annual gift tax exclusion. You can give up to $15,000 to each child, grandchild or any other person in 2020 without having to pay gift tax or tap your lifetime estate and gift tax exemption.

Nonitemizers can deduct up to $300 in charitable contributions for 2020.

October 15th is the deadline for individual tax returns with extensions.

529 Plans can also help pay for K-12 education. Tax-free payouts of up to $10,000 per student per year can be taken from 529 accounts to pay tuition for elementary and secondary private and parochial schools.

Be careful if taking a withdrawal from an IRA for short-term cash needs. The money must be returned within 60 days or the distribution is taxed, and is hit with a 10% early payout penalty if you have not yet reached age 59 1/2.

If you have an extension, an important filing deadline is coming up: Returns of calendar-year partnerships and S corporations are due Sept. 15. That is also the deadline for estimated tax payments for the third quarter of 2020.

The IRS is now accepting electronically filed amended returns for the 2019 tax year.

There are lots of breaks for buyers of business vehicles. The annual depreciation caps for passenger autos stay the same in 2020. If bonus depreciation is claimed, the first-year ceiling is $18,100 for new and used cars first put into service this year.

Truckers Form 2290, the Heavy Highway Vehicle Use Tax Return is due August 31, 2020.

Students aren't taxed on coronavirus-related grants they receive from colleges and universities under the CARES Act.

The IRS is still behind on issuing tax refunds. This includes direct-deposit refunds and paper checks owed to people who filed returns after the IRS shut its offices because of the coronavirus pandemic.

Businesses have more time to apply for a Paycheck Protection Program loan, now that Congress extended the application deadline from June 30 to August 8.

There is no penalty for Covid related early IRA distributions.

You have 60 days to redeposit refunded 529 money to the same beneficiary account.

The IRS will start accepting electronically filed amended individual returns. By late summer, individuals can use tax software to e-file Form 1040-X to amend a 2019 Form 1040 or 1040-SR. Amended returns for earlier years will still have to be submitted on a paper 1040-X.

Reminders for 2019 individual returns as the July 15 filing deadline nears: If you're not ready to file by this date, you can get an extension to Oct. 15. You'll still need to figure the tax you owe and pay that by July 15 to avoid penalties.