Common Tax Mistakes to Avoid

Filing taxes can be complicated, and even small mistakes can lead to delays, audits, or penalties. Avoiding these common tax errors can help ensure your tax season goes smoothly:

Incorrect Filing Status: Selecting the wrong filing status can affect your tax rate and eligibility for certain credits. Double-check your status to ensure it’s accurate.

Mathematical Errors: Simple math mistakes are one of the most common errors on tax returns. Use tax software or a professional preparer to minimize the risk of miscalculations.

Missing or Incorrect Social Security Numbers: Ensure all Social Security numbers are accurate and match the names on the return. Incorrect numbers can lead to rejected returns and delays.

Overlooking Income: All income, including freelance work and side gigs, must be reported. Failing to report all income can trigger an IRS audit.

Not Taking Advantage of Deductions and Credits: Many taxpayers miss out on deductions and credits they qualify for. Research or consult a tax professional to ensure you’re maximizing your tax benefits.

Failing to Sign and Date the Return: An unsigned return is invalid and will be sent back by the IRS. Make sure to sign and date your return before filing.

Missing the Filing Deadline: Filing late without an extension can result in penalties and interest charges. If you’re unable to file on time, request an extension to avoid penalties.

Avoiding these common tax mistakes can save you time, stress, and money. Whether you're filing on your own or with the expert assistance of Peggy's Family Tax Service, double-checking your return for accuracy can help prevent issues down the road.