Whether you’re filing late this year or trying to get a head start on next year, it’s never too late (or too early) to think about your taxes. No matter when you file, you should be careful. The rate of errors is declining, and professional tax preparers are partly responsible. However, mistakes can be made even with professional help. Read on for a list of the most common mistakes in Income Tax preparation in Kent.
Numerical Errors
The IRS itself points out one of the most common mistakes, such as the entry of an inaccurate SSN or numbers entered on the wrong line. Simple math errors round out this part of the list; if you are mailing your return, remember to date and sign it and to put the correct postage on the envelope.
Improper Claiming of Dependents
Dependents are people depending on you for financial support, such as stay at home spouses and children. You can claim them on your return for an exemption or a credit, which sounds simple – but those with blended families can tell you otherwise. If there’s a non-relative that depends on you for financial support, things can be even more confusing.
Not Filing When it’s not Required
Those who aren’t required to file and choose not to do so can miss out on the EIC, or earned income credit. This credit is refundable, and if you’re at the lower end of the scale, it can make you eligible for a refund in excess of the taxes you’ve paid. The eligibility requirements are complex, and your tax professional can tell you more about qualifying for the EIC.
Waiting Until the End – or Not Filing at All
Rushing your Income Tax preparation in Kent can lead to mistakes, according to most tax professionals. Meeting a tight deadline can shift the preparer’s focus to ensuring that the minimum requirements are met, from finding additional deductions. If you need more time to get your return together, ask the IRS for an extension; it’s better than not filing your taxes at all.
