Taxing Times: How Are Taxes Different This Year?

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Taxing Times: How Are Taxes Different This Year?
There's been a variety of changes affecting everything from retirement savings to charity donations.
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2020 was a year unlike any other. It was also a year that came with lots of tax changes. 

Iā€™m not an expert, but we talked to lots of them and asked: How are taxes different this year than previous years?   

"Just thinking about it just gives me a headache," said Kemberley Washington, tax analyst with Forbes Advisor.

"We had rebates and other individual provisions; we had an increase to unemployment assistance benefits, which does impact your taxes," said Misty Erickson, tax research manager at the National Association of Tax Professionals.

The pandemic also gave people the opportunity to take money out of their retirement accounts if they were affected by COVID-19.

"If you are a person who took money out of your retirement and if it was related to COVID, you're going to report it in a different way," Washington added.

It's also going to be an important tax year for charities. 

"One that really jumps out at me is a new charitable deduction for people who don't itemize. And that's, you know, the first time that this has been available. It's up to $300 per tax return," said Nathan Rigney, principal tax research analyst at H&R Block.

For more information on the 2020 tax season, visit newsy.com/TaxingTimes.