New software is making it so many people are starting to do their taxes at home. Even with all the updates in this new technology, taxpayers filing their own taxes, without the help of a professional still seem to be running into common tax problems and mistakes. According to bankrate.com there are 10 common tax problems that people run into when filing without consulting a professional or a CPA. Some of the common tax problems are:
- Math Miscalculations and Computation Errors - One of the most common problems, when filing your own taxes is bad math. Though there is no penalty for “wrong” math, you still might experience a delay or a different amount than you thought you would be receiving in your tax return, if not caught quickly enough. If you underpay on your taxes because of a miscalculation you might also receive a penalty for late and under payment of your taxes. Computation errors are another common mistake.Just like miscalculated math, this common tax problem occurs when a tax filer incorrectly enters the taxable income, withholding and estimated tax payments.
- Direct Deposit Dangers - A wrong account or routing number could cause you to lose your tax return completely. A CPA at Poston, Denney, & Killpack can help you create a plan that will avoid losing your money by filing a form 8888.
- Additional Income, Additional Filing Work - Independent contractors have additional filing work on their taxes. Forgetting the additional filing work could result in a possible late filing penalty if not caught in time.
- Missing the Deadline - Many people hold off until the very end to file their taxes. As long as you press enter or your tax return is postmarked by the deadline in April, you should be OK. If you still are unable to send your forms by the deadline, you then need to file a Form 4868, this will give you a six month extension. If you owe any taxes be sure to send it with your extension request. If you do not, you could face late or non filing penalties.
How To Avoid Common Tax Problems in Idaho Falls
When you consult with a CPA at Poston, Denney, & Killpack we can help you avoid the above problems and avoid any penalties or delays of your tax return. Even if you have the most up to date software for filing your taxes, nothing beats the assistance of an experienced tax preparation CPA. We help you avoid common tax problems by offering the following tax preparation services:
- Checking your tax return for any possible miscalculations, computation errors, and recent name changes that the IRS may look at.
- Filing your return electronically and safely by filling out a Form 8888
- How to adjust your payroll so you can get more money back every week.
- Show you any possible additional deductions that will limit your tax liability for the next year
- Own a business? We offer small business tax preparation services as well. We keep your books organized so you can get back to running your business.
