Tax season is upon us once again, so it’s time to reorient ourselves to what’s in store for us as there were some changes to the 2020 tax code. First and foremost, it’s important to file and pay your taxes on time to avoid severe penalties like:
Depending on your job and income streams, you’ll be required to file different tax forms. Be sure to consult with a tax professional or use online resources like NerdWallet to ensure you’re filing the right paperwork and claiming the necessary deductions to lower your tax obligation.
One of the most challenging tasks while filing taxes is cutting through the jargon. It’s harder than deciphering Mick Jagger’s catchphrases. We’ve put together key tax terms for you to start talking taxes in Common Tax Terminology.
Taxes shouldn’t be this complicated. Let Reconcile help you with these savvy tax tips to save your money and time.
Paying your taxes is important to avoid harming your credit score and standing with your state and the federal government. Thankfully, we’ve got you covered to make sure you file your taxes accurately this year. Find more such tips in our guide to reduce your tax bill in 2021.
File ASAP - You will get your refund sooner and help you stray away from fraud, theft and scams.
Avoid mail, file returns electronically - Don’t file a paper tax return; it can take six to eight weeks to process. File electronically instead, and the IRS likely will issue your refund within 21 days.
You don’t have to be a tax expert to file your tax return. Tax software programs allow users with little to no tax knowledge to accurately file their payroll returns, get maximum refunds, and avoid IRS audits. There are some amazing tax tools and software that could help you live the life of Riley!
Speed up your refund - Don’t be at the mercy of USPS to receive your check. Sign up for direct deposit when you file. That way, the money goes right into your bank account.
Let Reconcile track your refund for you - Just ask. No more worrying about refunds. Reconcile will get them in full for you.
Understandably, tax season can be a pain but submitting your return to the IRS as soon as you’re able may be extra important this year. That’s because there’ve been changes in tax code due to the coronavirus pandemic that will impact individual returns and refunds.
For a list of comprehensive reforms, read our article on What changed in 2021: COVID stimulus and your taxes.
Filing your income tax returns is an annual activity seen as a moral and social duty of every responsible citizen of the country. It is the basis for the government to determine the amount and means of expenditure of the citizens and provide a platform for the assessee to claim a refund, among other forms of relief from time to time.
Therefore, do not dismiss it as unnecessary and burdensome. Use our downloadable tax preparation checklist and file your taxes in time. Do let us know in the comments below if our checklist helped you.
Remember, the sooner paid, the less owed.