Top 8 Mistakes Even Savvy Taxpayers Make When Filing Returns

Filing taxes can be complex, leading even knowledgeable individuals to make errors. Many rely on professionals, but mistakes can still happen during the process. Here are some common pitfalls to watch out for to ensure smooth and accurate tax filing.

Procrastinating on Filing: Waiting until the last minute to file can delay refunds. According to IRS data, nearly a third of Americans file at the deadline, risking processing delays.

Hastening the process often results in late submissions and postponed refunds.

Filing Paper Returns: Paper filing tends to lead to more errors compared to e-filing. Manual calculations or attached worksheets are prone to mistakes. Using online filing options reduces delays and errors.

Related: What Happens If You Don’t Pay Your Taxes?

Online Calculation Errors: Mistakes can occur even during digital submissions, especially when entering figures. Typos can cause inaccuracies and processing delays.

Accurate data entry is crucial. Misstyped names or SSNs often lead to rejection or delays in processing.

Missed Signatures: An unsigned return is invalid. Many submissions are rejected due to missing signatures, which remains a common oversight.

Forgetting Extension Requests: Failing to request an extension can result in penalties. Knowing how to apply for an extension is essential, as the IRS may grant extra time if proper steps are followed.

Paid Tax Filing Services: Some individuals qualify for free filing options, such as seniors, disabled persons, or students. Many are unaware and incur unnecessary costs.

Overseas Tax Responsibilities: U.S. citizens working abroad must file and pay taxes timely to avoid penalties. Lack of awareness often results in fines and penalties.

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