We have an announcement to make.
The IRS has just changed the date of filing taxes or making a request for an extension. Mark this date: April 18, 2022. Are your documents complete? It is important that they are so that processing delays could be avoided. Do you know what these delays could result in, right? You got it: out-of-pocket fees.
Here’s a quick enumeration of the nine errors that taxpayers encounter, and also the very reason that getting help from a Mount Pleasant NC CPA is important.
1. Incorrect Social Security Numbers
Ensure that all those digits down to the last zero are typed correctly and in exact order.
2. Taxpayer’s Name
Double-check, or if you may, do a triple-check of the names in the tax return to make sure these match the ones in the social security cards.
3. Filing Status
This pertains to the status of the person paying the taxes. An example would be the Head of Household.
4. Math Errors
Since taxes have to do with numbers, you have to make sure that you have added and deducted the correct figures.
5. Tax Credits/Deductions
Ensure that you have inputted the correct amount to deduct, or even identified which exact deduction to include.
6. Bank Account
Ensure that no number is interchanged or else you will not receive a tax refund if there’s any.
7. Unsigned Forms
Without the taxpayer’s signature, the form will be deemed invalid.
8. PIN errors for e-Filers
While this is applicable for taxpayers filing online, always keep tabs on your Personal Identification Number as this serves as your electronic signature.
9. Health Care Report
If you’re claiming exemption for healthcare coverage, double-check that you’ve met all necessary criteria.
Tips to Avoid Tax Filing Errors:
Upon knowing these errors, it is equally notable to identify the practical ways to avoid them.
1. Get Help
There is no better way to go about it than to address it simply and straightly. Get help. A professional and experienced Mt Pleasant North Carolina Accountant would not only ensure that you have avoided these mistakes, but they could also provide relevant advice on other tax filing areas that you might have overlooked. You get to save time and penalty fees.
2. Make Documents Ready
All the needed documentation should already be in your hand when you file your tax returns. Ensure that all these documents also reflect the data and information in your personal records. This preparation could also be made easier if you have done tip #1.
3. Gather Those Receipts
Make it a habit to keep all your receipts especially for the ones that could be filed under deductions. If you could also find a way to organize your receipts so you could check back on them fast when filing season arrives, that would be a major time-saver too.
4. Keep a List of Personal Information
It is very practical that you have a separate list of your personal information needed for these kinds of transactions. In that way, you would simply take up this list and find every relevant detail that you should include.
5. Plan for Extension
You wouldn’t know if an extension will be necessary, but it’s practical that you put this into consideration as well. Make an early decision whether or not to file for an extension so that you would have sufficient time in getting ready.
6. Plan for the Refund
Are you expecting any refund? If you are, ensure that this is handled properly. You would have different options as to how these refunds will work for you. If you have talked with a tax preparer, they could help you decide how to make the most of this refund.
Bottom line
Tax filing could have its own challenges. But just like any challenge, it could be worked out and smoothened if you know exactly what you are doing. On the same note, you would be relieved to find that getting some help would actually save you more extra than actually doing it yourself.
If this is the kind of help you need, give us a call!