5 Mistakes Everyone Makes Their First Time Filing Taxes
You may be nervous about sending in all your forms as a first-time filer. Even if you make a mistake, don’t worry. Most first-timers make at least one of the errors discussed below. If you can’t see yourself filing your tax return on your own, consider speaking with a TurboTax Live tax expert online from the comfort of your home in Dallas, Oakland, Atlanta, or anywhere else in the United States.
Using the Wrong Identification Number
Your tax identification number helps track how much you pay to the IRS. You must put it on your forms correctly, whether you have a social security number or an individual tax identification number.
Claiming an Improper Tax Exemption
An exemption helps reduce your taxable income, but you cannot always file for one. Many first-time filers end up claiming an exemption when they should not.
Messing Up the Math
Many online forms will make the calculations for you. However, if you choose to fill out a paper form, you must do all the math independently. First-timers often mess up on the math because of the sheer volume of what there is to calculate.
Waiting Too Long to File Taxes
You know you have until April 15th to file your taxes, so you may not feel the rush to get in and get your forms filled out early. However, if you have to fill out a W7 form in addition to other documents, you may want to get in as early as you can. If you wait too long to go in, you may need to get an extension or file your taxes late.
Forgetting Tax Deductions and Credits
Taking deductions on your taxes can help you lower your taxable income. Credits, on the other hand, reduce your tax liability. While you may not qualify for every deduction and credit available, you should try to use any that you can. Many first-time filers overlook these money-saving perks because they are unaware of the credits and deductions.
Whether you are filing for an ITIN renewal or sending in your taxes for the first time, you want to be careful not to make mistakes. Use online tax forms to make sure you don’t make any mistakes this tax season.