Common Tax Filing Mistakes and Errors to Avoid
There are high risks of committing tax flaws that are avoidable especially towards the deadline of filing your taxes. Some of the adverse consequences will attract unnecessary delays in processing returns or even beckon a tax audit. No one wants to find himself in such a situation. In this article, we will be looking at the most common errors that taxpayers make. The good thing is that you can avoid them by double-checking that you have done everything right. Some of the consequences have substantial financial implications, and the best way forward is to prevent their occurrence.
- Wrong Social Security Numbers
Make sure that all the social security numbers (for self, spouse, kinds and other dependants) are accurate. The taxman rates this as among the most common errors that people commit while filing their tax returns. The only way to avoid this error is double checking your entries. You need to confirm these details whether you are submitting your returns online or on paper.
- Name Errors
Make sure that your name, especially if you are married and submit your returns separately as opposed to that of your spouse. Make sure that the name that is on your Social Security Card matches the one that is on your tax return. You can contact the Social Security Administration to get a new card if you have any changes in your names.
- Multiple/Incorrect Filling Statuses
You should only file under a single filing status at a time. Most online tax filing platforms don’t allow you to make multiple selections in the filing statuses. However, you need to check if you have made more than one filing status at a time if you are filing your returns on paper. Make sure that this does not happen to you.
- Not Signing All Signature Areas
All the relevant parties should sign the tax return forms for them to be valid. In case you are filing a joint return, don’t forget to give your spouse to sign. Failure to do this may result in the rejection of the tax returns or delays in the whole process.
- Math Errors
Mathematical errors are common especially when calculating the tax amount due for the year. You can avoid this problem by using the updated versions of tax tables, counterchecking your calculations, and making all the required corrections. You can also hire a professional accountant to help you with these calculations. These experts can also take you through the process of Leaving UK Tax Refund.
- Claiming Deductions and Credits
The regulations of tax deductions and credits keep on changing from one tax period to another. Check whether you qualify for some of them like earned income credit that depends on your gross income. The same case applies to deductions that are age-specific. You can avoid delays in processing your returns by claiming deductions and credits that you qualify to get. Accounting professionals can help you to prepare Leaving UK Tax Refund and speed up the whole process.
- Account and Routing Numbers
Most taxpayers who claim for returns choose direct deposits to the Internal Revenue Service (IRS). You can only achieve this objective when you provide accurate bank account and routing numbers. The only way to correct this problem is by reviewing all your details before filing your returns.
Last but not least, don’t hesitate to apply for a tax filing extension if you are unable to fill your returns in time. It will help you to avoid some of the above errors and the IRS penalties and interests for filing your returns late.