Tax season can be a stressful time for many people. The best part, of course, is the refund! A little extra cash can mean a lot of fun or the start of a great savings. If you’re typically eligible for a tax refund, we want to help you ensure you’ll see a nice return. Here are a few ways to make sure you’ll get as much as possible in your pocket:
Fix your IOU with the IRS: If you owe any money from your last tax return, the IRS is likely to take it out of this year’s. Audits can also put you at risk for owing money; those who make $1 million a year or more are at a higher risk for audit.
Protect yourself: Identity theft is a huge issue, one that can seriously compromise not only your tax return, but your entire financial security. For tips on how to prevent fraudulent activity, read our article here!
Your income stays the same: Obviously making more money is a great thing! However, a larger income can make you less eligible for credits such as the earned income tax credit or the premium tax credit.
Don’t slack on your student loans: failure to make payments for your (or your spouse’s) student loans will set them into default and compromise your return.
Be supportive: Past-due child support payments can also compromise your tax refund. If you are not legally responsible for child support and student loan payments, you have the option to fill out Form 8379 (injured spouse allocation) to collect your refund.
Everybody wants his or her refund due to them! No matter how you choose to spend your extra cash come tax time, Paragon Accountants wants you to gain as much as possible for a bright, fruitful future. Contact us with any questions, any time!
