With the tax deadline being extended, many of us have decided to wait as long as possible before filing. With the IRS’s extended July 15th deadline fast approaching, here are some tips that will help you have a seamless tax filing experience.
Although this sounds like the most basic step, the collection of documents tends to be the part of the filing process that takes the longest. There are many different forms that you may need to collect to file taxes. This includes W-2s and 1099s that report your income. If you’re entitled to advanced premium tax credits that help you with your health insurance, you would need to collect from 1095-A. For deductions such as mortgage interests or student loan interest, you would need 1098 forms. If you plan on itemizing deductions on a Schedule C, make sure to have all your receipts collected and organized. Making sure that you have all your documents ready will make the preparation process so much smoother, especially if you’re working with an accountant.
Filing taxes can seem overwhelming for some and for others it's as simple as only inputting their W-2 earnings. Choosing the right accountant or filing software can help make filing your returns that much easier. For those that feel comfortable filing their own returns because they only have a W-2 filing themselves by using TurboTax may be the right solution. However, if you have a more complicated filing situation with many different forms, doing it yourself may feel overwhelming. With COVID-19 making it harder for in-person meetings, the use of virtual software can be both helpful and convenient. If you want to stay away from doing your own taxes, Taxfyle is a great platform that gives you a quote upfront and virtually connects you to a tax professional that prepares and files your return for you.
As July 15th approaches, more and more people will be rushing to get their taxes filed by the deadline. Setting up direct deposit when you e-file your taxes will help ensure you get your refund faster than if you were to get a refund check in the mail. On average direct deposit refunds are issued within 21 days after the IRS accepts your return. Whereas, a check in the mail may take up to 6 weeks.
It’s easy to make a mistake as you rush to file your return on time. Check for these common mistakes to ensure your return gets processed and accepted the first time around:
Spelling Errors: Double-check your name, social security number, and address to make sure they are correct.
Check for Signatures: Make sure you have signed the final draft of the return as the IRS will not accept a return with missing signatures. For joint returns, both spouses must sign the return. Additionally, if you are having a tax professional file on your behalf, make sure you sign form 8879, which grants the tax professional authorization to file your return.
Filing Status: Verify that you’ve selected the correct filing status on the first page of your 1040. The five filing statuses to choose from are: Single, Married Filing Jointly, Married Filing Separately, Head of Household and Qualifying Widow(er).
Following these tips will help you get your return filed in a timely manner and ensure that the IRS processes and accepts it without any delays.
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