Avoid typical blunders that might delay your tax refund and cause bigger troubles as tax season approaches. Hasty tax filing might cause errors, rejection, or delays. Let’s avoid some common tax mistakes to make filing easier.
Avoid these common tax mistakes to avoid delays. (Photo from CBS News)
Tax Time Alert: Avoid Delays by Steer Clear of Common Tax Mistakes
First, putting off submitting your taxes is dangerous. Last-minute requests for refunds might be complicated. Late filings attract penalties, and a six-month extension until October 15 requires paying estimated taxes.
Names and SSNs are another typical error. Matching your full name to your Social Security card is vital. Any discrepancy may result in tax return rejection. Before filing, update your Social Security Administration information if your name has changed.
Filing electronically requires entering the accurate AGI from the previous year. The IRS verifies your identification with this information. Your return will be refused if AGI doesn’t match. Lose your last year’s tax return? Get your AGI from the IRS.
READ ALSO: Proposed Changes To Social Security COLA: How Washington’s New Formulas Could Boost Your Retirement Income
Avoid These Common Tax Mistakes for a Faster Refund!
Avoid filing under the wrong status. Filing status influences tax credits and deductions. Using the IRS tool to ascertain status is key. An erroneous filing status may need a return amendment or tax fraud inquiry. Math mistakes can complicate matters. A minor mistake while computing child tax credits or deductions can result in an erroneous refund. Quality tax software like the IRS’ Interactive Tax Assistant reduces errors.
Incorrect bank account or routing numbers for direct deposit can delay your refund. These facts are final, so a paper cheque may be mailed. In extreme circumstances, providing the erroneous account details may get your refund paid into someone else’s account, requiring complicated corrections. Last, neglecting to sign your tax return, especially when filing on paper, can cause major delays. Electronic filing with a digital signature eliminates this risk, speeding up the procedure.
Taking precautions to avoid these typical mistakes will save you time and help you get your tax return faster.
READ ALSO: February Social Security Payments Reach $1,900: Seniors Celebrate Boost With 3.2% COLA Increase
