12 Things You Must Do to Avoid Tax Return Mistakes, IRS Says in New Alert
File Electronically
Filing your taxes electronically reduces the likelihood of errors, as tax software can catch common mistakes and automatically perform calculations.
Double-Check Your Personal Information
Ensure that your Social Security number, name, and address are correctly entered. Even minor errors can cause delays or rejection of your tax return.
– Report All Income
Make sure to report all sources of income, including wages, freelance work, interest, and dividends. Failing to report all income can trigger an IRS audit.
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Choose the Right Filing Status
Select the correct filing status (e.g., single, married filing jointly, head of household). Using the wrong status can affect your tax liability and eligibility for deductions.
– Use Correct Dependents Information
Ensure that you claim eligible dependents and provide accurate information, including their Social Security numbers. Incorrect information can lead to rejections or delays.
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Claim the Right Tax Credits and Deductions
Take advantage of all the credits and deductions you qualify for, such as the Earned Income Tax Credit (EITC) or Child Tax Credit, but make sure you meet the criteria to avoid errors.
Verify Bank Account Numbers
If you’re opting for direct deposit of your tax refund, ensure that your bank account and routing numbers are accurate to avoid delays or misdirected payments.
Don’t Forget to Sign Your Return
Whether filing electronically or on paper, your tax return must be signed. If it’s not, the IRS will reject the return, leading to processing delays.