There are many reasons why you may postpone filing your taxes, but putting it off too long means running the risk of making mistakes or missing the deadline. Whenever possible, you should strive to file your tax return on time and accurately to avoid costly filing penalties. Being prepared and creating a stress-free plan helps take the pressure off. Plus, the sooner you file the sooner you’ll get your refund. Here are some last-minute tax preparation tips to help get you on track, even if you are a tax-time procrastinator.
Gather your documents and records
The first thing you should do is gather all the tax documents and records you’ll need to file your taxes. Tax documents are typically sent through the mail or electronically from employers, financial institutions, and others you’ve had financial transactions with over the past year. These forms are essential for reporting income, deductions, and credits to the IRS.
Some of the most common tax forms you may receive include:
- Form W-2 from your employer to report wages, salaries, and tips
- Form 1099, which come in several varieties, like 1099-NEC for independent contractors, 1099-DIV for dividends, and 1099-INT for interest income
- 1098 Forms for mortgage interest statements
It’s also wise to gather other documents that may affect your taxes. These commonly used documents include:
- Receipts for charitable donations
- Records of contributions to retirement accounts
Note: If you received money in exchange for goods or services using peer-to-peer payment platforms like PayPal and Venmo, remember to check these apps to see if you were issued a tax form. The IRS now requires these platforms to issue Form 1099-K for certain transactions.
Chances are, you’ve already received the documents you need from your employers and financial institutions by the end of January. Once you have all your important documents handy, completing your return should be straightforward.
Begin with a checklist like this one: Tax Prep Checklist: Everything You Need to File Your Taxes
Make sure you file on time
To be considered “on time,” your tax return and any money you owe must be submitted (or postmarked) by midnight in your time zone on Tax Day. Typically, the deadline to file your federal tax return is April 15th. If this date falls on a weekend or federal holiday, then tax payments and returns are due the following business day.
Filing online is often the quickest method to ensure your tax return is submitted on time. E-filing not only speeds up the process but also provides instant confirmation that your documents have been received. Plus, the IRS says that e-filing with direct deposit is the fastest tax refund method.
Note: If you are unable to file your tax return by the deadline, you should file for an extension. Filing for an extension gives you more time to file, but it does not provide an extension for paying any money owed. If you expect to owe taxes, the amount will still be due by the original tax deadline.
Double check for mistakes
Choosing the right filing status is also important because it impacts your eligibility for certain deductions and credits.
Confirm your personal information – like your name, Social Security number, and address – is correct when you submit your return. If you have filed with TaxSlayer in the past, it will be automatically filled in, so that’s one less thing you need to think about.
Take some time to cross-reference the income you’ve reported from your W-2s, 1099s, and any other income statements against what you’ve entered in your tax return to verify everything matches.
TaxSlayer will help you take advantage of all the credits and deductions you’re eligible for based on your information. This includes examining your choices between taking the standard deduction or itemizing deductions.
Be prepared to pay any taxes you owe
If you have a tax bill instead of a refund, your payment is due by the tax filing deadline. Paying late puts you at risk of penalties and interest. If you put off filing because you need more time to pay your full tax liability, know that you can always apply for a payment plan with the IRS.
Request an extension if you need more time
You can request more time by filing Form 4868, Application for Automatic Extension of Time to File U.S. Individual Income Tax Return.
If you choose to file an extension, it needs to be submitted by the IRS due date. Then, you will have an extra six months to complete your return as needed. Keep in mind, an extension to file your return does not mean you have extra time to pay your tax bill.
Last-minute tax filing FAQs
Being prepared not only makes filing taxes less stressful but also gives you time to ensure you’re taking advantage of all of the deductions and credits available to you. Here’s more answers to common questions you may have.
What should I do if I miss the deadline?
You should file as soon as possible whether you owe taxes or not. The longer you wait, the longer it will take to get your refund (if you are expecting one). And if you owe money for your taxes, you’ll have to pay a failure-to-file penalty, plus compounding interest.
What happens if I don’t file my taxes?
You must file a tax return to claim a refund. You have three years from the original filing deadline to file back taxes to claim a refund.
If you have a tax bill and you don’t make your tax payment by the April due date, then you could owe a penalty and interest. If you didn’t file or pay your bill last year, you’ll want to get back on track to avoid penalties.
Can I file my taxes on the day of the deadline?
Yes, you can file your taxes on the day of the deadline. However, it’s essential that your tax return is submitted and time stamped with the tax deadline to avoid any penalties for late filing. Your return does not need to be accepted by the deadline to be considered on time, but it should be submitted by that date.
Ready to start and finish your tax return? File with TaxSlayer today.
