Money Talks: Tax Hacks 2013 - Most Common Mistakes
Fri, 22 Feb 2013 15:30:50 GMT —
Make a mistake typing an email? Just hit the backspace key and fix it. But make a mistake on your taxes and the fix won't be as simple.
Messing up at tax time can wreck a timely refund, cost you a penalty, or even result in a visit from your friends at the IRS. So if you're going to file without a pro, avoid these common mistakes.
First and most important...Social Security numbers. Wrong number, no number, and misplaced digits could really ruin everything.
Next, check, re-check and check your math again! One reason why if you're going it alone, tax software makes so much sense.
Of course there's one thing software can't do. It can't look over your shoulder to make sure you signing the check you're sending in| or the return you're sending it with.
Here's another potential mistake: using a simple form like an EZ, when a 1040A or 1040 would get you a bigger refund. Again, some software will ask you questions to avoid this mistake.
If you made less than $51,000 last year, there are thousands of places you can get your return prepared free. So paying a preparer could also be the wrong move.
And one final mistake: failing to file electronically, and using direct deposit. Do these things and you can get a refund in days instead of weeks.
A lot of these mistakes come from the same cause: waiting till the last minute and then having to rush through the process. Want an error-free return? Start early and take your time. Want more information on how to avoid mistakes and how to lower your taxes? Go to MoneyTalksNews.com and search for "Tax Hacks 2013."