Best Ways to File Your Income Taxes
Most of us have already received our W2 forms and are ready to hit the ground running to process our annual filing in hopes of a fruitful return.
There are many ways to file your annual taxes. You can either do it yourself or hire someone to process this important paperwork for you. None of these options are wrong, IF you a) Know what you are doing and b) Make the right decision.
Here, we will explore all of the tax filing options you have and examine the pros and the cons of each of them.
Do It Yourself
File the “Old School” Way
When it comes to tax filing, doing it yourself might be looked at as the less expensive option—only if it is done right! The Internal Revenue Service (IRS) has composed simple tax filing documents for the less complicated cases. Anyone can go to their local post office and pick up as many copies of the official blank 1040 and1040 EZ Forms along with the respected instruction booklets.
The IRS recommends the final submission to be written in ink to prove that there was no tampering with the documents. So, if you’ve never filed this way before, it is recommended to take at least 3-5 copies just in case you make an error. This form of filing requires you to mail in your paperwork. The downside to this method is that the turn-a-round time for the IRS to verify, process and issue your refund (if you are entitled to one) can be at least three months, and could take longer if they find any discrepancies.
More people who are computer savvy prefer to file their taxes electronically directly with the IRS. Here are the steps:
1. First the IRS must determine if you are eligible to file electronically.
2. If you are indeed eligible, you will then need to acquire an official PIN number from the IRS. To get your pin number, click on the official IRS link here.
3. Go to the Free File link here. You’ll have two options: one for households earning less than $62,000, and the other for households earning over $62,000.
The upside to efiling is that the processing time will go faster, but again, if you are new at this, chances are that there might be some discrepancies in your filing. This will result in a lot of back and forth between you and the IRS, inevitably delaying your potential refund.
Another safe way to file your taxes is through using commercial tax prep software. For those who prefer to go this route, just make sure that you are purchasing legitimate software. This type of software usually walks a user through the tax filing process, making it a little easier, but here again, there might be some key points that some software might overlook that could prevent you from receiving additional money that is rightfully yours.
Unless you are a tax accountant, the best way to file your income taxes is to hire someone to do it for you. You could either go to a pop-up shop kind of a tax preparer, who was more than likely trained over a three-month period to process your taxes or you can call Success Tax Relief, a tax consulting company that specializes in filing taxes and resolving any tax issues of any kind that one may have with the IRS. If you want more information about tax preparation services, call Success Tax Relief at 1-877-825-1179 or send us a question online today!