Last Minute Tax Tips Before Deadline.Procrastination of tax returns is not a unique phenomenon. In fact, a lot of tax payers file their tax returns in the last two weeks before the deadline. Filing tax returns earlier than the deadlines is better as you are not rushed and chances of making mistakes is also lower. However, if you are racing against the deadline clock for your returns, here are some tips to help you get through.
Keeping all the stuff together can be a big relief while you are filing your tax returns, as you do not have to get into frenzy in the search of documents. Make it point to have documents such as Form 1099-INT (reflects any interests that you have earned), Form 1098 (reflects any mortgage interests that you have paid) and Form W-2 (usually sent by employers and contains your income).
Also, keep your social security number handy before you start filing for tax returns. If you are filing for taxes jointly, then you need to have the social security number of your partner.
The moment you have gathered all your documents, and are ready for filing your tax returns, do it electronically. Do not take only our words for it, even experts recommend filing your tax returns electronically. Going online and filing your tax return, allows you for a more accurate filing process. It also ensures that tax refunds if any are faster as well.
As you are filing up taxes at the last moment, the chances of making minor and silly mistakes can delay the process. Though you can always amend the same, it is going to make the refund process a tad lengthier. The most common mistakes that tax payers make while filing taxes in a hurry are:
You might be really close to deadline of filing your tax returns, but that doesn’t mean you cannot take help of last minute tax saving options. Investing in a traditional IRA will help you bring down your taxable income amount by $5,500 if your age is within 50 years and by $6,500 if you are above 50 years.
Alternatively, you can use your health savings account for tax deductions as well. If you have made contributions towards health savings account, there is no reason you should be shying away from adding these to your tax returns.
If you usually take the help of a professional tax preparer or just aren’t sure about some aspects of tax filing, worrying is not the solution. There are a few alternatives available for the same such as the Volunteer Income Tax Assistance program. These volunteers are certified by the IRS and can help you out with your basic income tax return filing. Also, they file the returns electronically, which ensures the process is faster and without any hassles.
If everything else fails and you are too close for filing tax returns, the safest option is to apply for extension. You need to fill up the Form 4868 before the deadline to get an extension on your tax filing. It is important to note that the extension is only on the filing of returns and not paying of taxes.
Though you can file at the last moment, preparing in advance is a good practice and will keep you away from any mistakes. Going online will save you a lot of effort and in the worst case, you should opt for extension. tag mercedes
Imitation omega
imitation rolex
Owe Taxes These can help . A few of us receive an intimation letter from the IRS stating that we owe them some money in the form of taxes. Sure enough, nobody likes to receive such emails. However, if you do here are some ways you can handle the situation without losing your sleep.
If you receive that envelope from IRS, do not be a skeptic and not open it at all. I have seen quite a few friends who just do not wish to open the envelope. There are chances that your tax filing might have a minor error that you need to fix. Whatever the reasons could be, do not forget to open and read the letter as soon as you receive it.
jniThe letters from IRS usually tend to be long and a bit difficult for some people to understand. While calling the IRS might not be the most efficient method, it surely is the easiest workaround. Speak with them to understand the need for the letter and clarify should you have any queries regarding it.
It is of utmost importance that you keep your nerves calm and read through the letter properly. It will help you access if you really owe the IRS some money or not. There are a few instances when the IRS goofs up the returns and sends letters to your address. For an instance, they might calculate your wages twice or Form 1099-Misc twice, which directly impact the taxes that you owe. If in doubt, you can always seek professional help to iron out things.
You are entitled to a few rights as a tax payer such as the right to privacy, take the help of professional services to represent you and only pay the amount that you owe to the government. You can ask a CPA or an attorney to represent you. You can also take help from the Taxpayer Associate Service. You must keep in mind that most of the people involved are merely doing their jobs. Thus, being kind and gentle might help you get through the process a bit faster and with fewer worries.
This advice comes at the backdrop of your financial condition and availability of funds. You need to judiciously pay off any money that you owe to the IRS. For an instance if you have $500 with you and you owe the IRS that much, paying it off immediately puts you at other risks. Ensure that you have all the basics covered such as food and shelter before paying off the IRS.
It is not uncommon for business entities and spouses to send the bill to other individuals. If you are stuck in one such situation, do not forget to explore your options. There are chances that you might not be liable to pay the taxes at all. An example of the same would be, if your spouse was part of a deal that you are not aware of, you need not pay taxes on those.
It might so happen that you do not have the entire amount to pay off the dues. In such cases, check for the minimum amount that you need to pay immediately and look for options to repay the remaining ones as soon as possible. The IRS lets you repay the amount in installments as well. Thus keep your options open and not just get a mental block because you received a letter from the IRS. watch mercedes
first copy
white gold
Recent Comments