It’s tax filing season, which means it’s also time for refiling your returns. The IRS advises that you file your taxes as soon as possible, but you shouldn’t wait until the last minute. If you have been out of the country for more than 30 days during the year, you need to file your taxes within two weeks of your return date.
It can be scary to start each new year with a new tax return. The thought of falling into tax debt (which somewhere like My Tax Settlement would be able to help with), finding out more about your own financial situation, and everything else that comes with paying tax is enough to overwhelm anyone. Whether it’s the IRS, our state, or the city, taxes are a part of life, and we all need to know how to file. But if you’re just starting out and don’t know where to begin, here are some things you can do:
1. Understand your tax situation
You can’t afford to lose out on the tax deductions and credits you deserve. You need to understand your tax situation, so you can make the right decisions. We’ll be showcasing new tax tips that will help you get your tax paperwork done quickly and effectively. Plus, we’ve got a few tricks up our sleeves to help you beat the IRS at their own game.
2. Calculate your total taxes (federal + state)
Before you dash off to prepare your tax returns, here’s something you should know: all different types of taxes can have an impact on your finances. Over the years, there has been a great deal of controversy over the best approach to paying personal taxes. Some believe that paying taxes is a form of self-sacrifice, while others believe that paying taxes is the only way to make sure that the government stays in business.
3. Figure out if you have to file.
If you have taxable income, you may need to file. There are forms like W-3 and W-2 that you are most likely to be expected to file before the year ends. When the IRS sends out the first batch of tax forms for the upcoming year, the first thing most people do is head to the bank to check their balances. But you might be surprised to learn that you don’t have to pay tax on every penny you make. In fact, the majority of people don’t have to file a tax return.
4. Find out if you will owe any tax.
The tax filing season is upon us, which means it is time to determine all your tax obligations. You will need to file a U.S. Income Tax Return (Form 1040) and a U.S. Individual Income Tax Return (Form 1040A) if you are subject to tax. You will also have to file an IRS Form 1040NR, if you are a non-resident alien. It’s tax season, which means it’s time to get up to speed with all the preparation you need to do before the deadline. Set up an account with a professional tax preparer and turn in your returns as soon as you’ve completed them. If you’ve been working for some time and are filing electronically, make sure you’ve downloaded the right software and plugged in all your information before the due date. And, if by any chance you had missed filing taxes in the past and now have a debt, you can avail of tax debt relief resources to get benefits. You could explore various blogs on tax rebates and relief or contact a financial advisor to learn about your options.
5. Get a professional opinion to make sure you are filing correctly.
This is the time of year that we all get our taxes done. Whether you are a business owner or a stay-at-home Mom, this is the time that you will get your taxes filed and will be making decisions that will affect your taxes for many years to come. To determine whether your business is eligible for tax relief services, you may also want to set up a consultation with companies like TaxRise. Those who qualify may be exempt from paying any taxes to the IRS this season.
If you happen to owe the IRS money, you need to get a professional opinion from a CPA or tax attorney to ensure you are filing all the right forms and documents. The IRS has specific rules about when and how much of your return should be filed electronically using tax software. But no matter how you file, since the IRS is on a crusade to catch tax cheats.
Now that filing season is upon us, tax experts are warning of a possible increase in the number of taxpayers who will have to make mistakes and file an incorrect return because they didn’t do their research properly. Tax season is upon us. If you are like me, the months before this time become a blur of spending money on student loan payments, groceries, rent, utilities, and the other expenses of running a household.
Unfortunately, the government gets its share of our hard-earned money. Every year, the government takes out more from you than they give you back. Depending on your income, you may owe money to the IRS at tax time, or you may owe money to the IRS later on. The trick is knowing how to save yourself from unnecessary tax debt or prevent yourself from incurring it.