Top 5 Tax Filing Mistakes You Should Avoid – Filing taxes is definitely one of the complicated tasks. So naturally, you want to avoid all the mistakes that come in front of you as minor mistakes may cost you huge money.
Along with that, you may face penalties or interests. So the question is, what are the common tax-filing mistakes that most people make, and how to avoid them?
Top 5 Tax Filing Mistakes You Should Avoid:
Well, this is what I am going to discuss in this article. I will be mentioning the top mistakes that you should keep an eye on.
So here we go:
#1. Wrong or missing SSN
SSN or Social Security Number is quite a long one, and it is possible that you make a mistake while typing it down or writing. So it is always a good idea to check that you have entered the correct social security number. Also, always double-check what you have entered just to be sure.
#2. Wrong Name
There is a very rare chance that you will enter your name wrong. But if you are filling someone’s else tax, then you might make a mistake here and there.
Also, whenever it comes to entering the name, you should know that the name on the tax return should be the same one as on your social security card. Else, the social security administration (SSA) will get it wrong.
In often cases, we fill out our tax returns without entering the middle name. As a result, it conflicts with the IRS system, and your tax return application doesn’t go through.
#3. Filing Status Errors
It is also extremely important to choose the right filing status as five different filing statuses are available. This includes, Single, Married filing jointly, married filing separately, head of household, and qualifying Widow with dependent child.
Each of these categories has different tax purposes. Hence, they need to be filled in different ways. So in case if you get into the wrong category, it may create unwanted issues.
#4. Math Mistakes
One of the essential things that the IRS checks on a tax return is math, so make sure that you enter the accurate values for your tax return.
Like, you can easily miss a number or two here and there. Hence, it would be good to use taxation software to calculate how much tax you have to pay and how much you have earned. You can also consult with a tax professional for further help.
#5. Incorrect Bank Account Numbers
In case if you use the e-fill option and choose to direct deposit, then you will get your refund back in a few weeks. It is extremely fast and easy.
But it will only be fast and easy when you provide the right information. So you should check that you have entered the correct bank name, account number, routing number, and other details correctly.