From calculators to computers, we live in a time of automation. And yet, inaccuracies keep turning up on tax returns. With this in mind, today we share five useful tips to avoid errors on your tax return.
1. File Electronically
Choosing to file your taxes electronically comes with many advantages. First off, it helps limit the risk of errors because many of the calculations are done automatically. No less importantly, electronic filing also ensures that you get your refund as soon as possible.
2. Make Sure to Use the Correct Filing Status
Your filing status is a category that determines how much tax you pay. There are five filing statuses:
- Married filing jointly
- Married filing separately
- Head of household
- Qualifying widow(er) with dependent child
If you’re not sure about which filing status to use, the IRS offers a free tool called What is my filing status? Just click on the link and then on the button “Begin” to get started.
3. Report All Your Taxable Income
Remember, all your income is taxable, even if you are paid with goods or virtual currency. This includes workers in the gig economy, as we saw in a previous post. Reporting all taxable income will help you avoid penalties and processing delays, but it can also lead to finding overlooked deductions or credits.
4. Double Check the Basics
Getting the basics right goes a long way toward success, and taxes are no exception to this rule. Here’s a quick list of the details you have to double check before filing your return:
- Date of birth
- Social Security Number (SSN)
- Routing and account numbers
- The IRS address (if you are filing a paper return; to find the address you have to use, click here)
- Make sure to sign and date the return
Remember that the deadline to file and pay your federal taxes this year is April 18, 2022. Get in touch with the experts at Delgado’s insurance if you have any questions or need assistance.
Delgados Insurance: File Your Taxes With Confidence
Whether you are an employee or in the gig economy, taxes don’t have to be complicated. At Delgado’s Insurance, we help you maximize your refund while staying compliant with all relevant laws and regulations.
We have locations in Riverside, California, and Bloomington, California. Contact us today by telephone (951-361-0084, 909-421-9003), email (firstname.lastname@example.org), or through our social media accounts (Facebook, Twitter).