Doing your taxes? Here's the most common mistakes...

If you are one of the millions of Americans who’ll be scrambling to file their tax return in the next two weeks, there are a few things you may want to look out for. According to the IRS, each year Americans make the same mistakes over and over again when filling out their forms, and some of them are so obvious it’s embarrassing.

Some of the most common tax filing mistakes include: (click here for the complete list) 

  • Tax return is illegible – True if you e-File that won’t be a problem (in fact a lot of these won’t be an issue if you file electronically), but if the IRS can’t read things like your name or address, they can’t process your return 
  • Choosing incorrect filing status – Your filing status determines things your requirements and deductions so if you choose incorrectly your whole application will be incorrect. 
  • Failure to correctly list all dependents – All dependents, including their taxpayer identification number and/or social security numbers, must be included in your filing.
  • Entering income on the wrong line – Entering your income in the wrong box will likely be a red flag to the IRS. 
  • Failure to include all W-2 forms – If you have more than one job you must include a W-2 for each one.
  • Arranging tax documents in incorrect order – Take the time to put your corresponding documents in the right order. If not it could delay your refund. 
  • Sending your return to the wrong IRS office – Different types of documents, and docs from different regions, got to different IRS offices, and if you send yours to the wrong place, and a lot of people do, your refund will be delayed. 
  • Using inadequate postage – If you put the wrong postage on your return it will be sent back and you’ll risk missing the April 18th deadline. 
  • Failure to make a copy of a signed return – Certain types of loans will ask you for copies of your tax returns and if you’re missing one you’ll have to pay the IRS $50 to get a copy. 
  • Failing to sign and date return – It’s the simplest thing but still a huge mistake people make. An unsigned return cannot be accepted by the IRS so make sure to sign and date it, and if you file jointly, make sure your spouse does as well, 

Source: 24/7 Wall Street


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