Everyone makes mistakes, but making a mistake when it comes to your taxes is especially cringe worthy. If there is an error on your tax return, it can end up costing you a lot of money. As such, it’s important to proofread your tax return before you file it to avoid receiving hefty penalties and possibly even an audit. Read on to learn about the six most common mistakes people make on their taxes.
Common Tax Return Errors to Avoid
1. Forgetting to Sign Your Return
Although signing your tax return should be the simplest part of your taxes, some people still forget to do it. If you forget to sign your taxes, your return will not be considered valid.
2. Writing the Wrong Social Security Number
Including the wrong Social Security number on your taxes will result in your return being rejected by the IRS. If you file electronically, your return will be processed much more slowly, and you will have to wait even longer to receive any money you are owed.
3. Spelling Your Name Incorrectly
If you changed your name, it’s critical that you include that change on your return. If the name you use on your taxes doesn't match IRS records, your return may be rejected.
4. Using the Wrong Filing Status
Depending on your personal situation, you may not know what to choose for your tax filing status. If you are not sure which status to use, visit the IRS website to help you decide.
5. Claiming Incorrect Deductions & Credits
Make sure you qualify for all the deductions and credits you take by thoroughly reading information about them. A tax software program can help you decide which money-saving opportunities you are eligible for.
6. Writing the Wrong Bank Account Number
If you choose to receive your refund via direct deposit, make sure your bank account number is entered correctly on your tax return. If the number is not entirely correct, the IRS will not be able to deposit your refund.
The accounting team at Fisher & Hodges CPA’s AC, located in Princeton, WV, provides accurate and knowledgeable bookkeeping and tax services. They have been helping residents in the area since 1988. Give them a call at (304) 425-2470 to schedule a consultation. Visit them online to learn more information about their tax services.