Procrastinators Alert…Thoughts on Filing Your Tax Return
For all you real hard-core procrastinators out there, you still have plenty of time before you need to file your 2025 tax return. Go ahead and put off preparing your tax return until Wednesday night October 14th or even Thursday October 15th.
Here are some tips on making sure you prepared your return correctly.
First, check the social security numbers on your W-2s, W-2Gs, 1099s, and schedule K-1s. If your social security number is incorrect, the IRS computer will not be able to match that information to what you put on your tax return. This could cause any refunds you were expecting to be held up or even changed.
Second, look at last year’s tax return to see if you are missing anything. Itemized Deductions same? Expenses on self-employed activity same? Are rental and/or business expenses the same? Did you forget about an interest account or dividend account?
Third, can you still take a SEP-IRA deduction? Were you covered by an employer retirement plan? Is your total income low enough? If you qualify, you can still fund it by October 15th.
Fourth, make sure you have all the appropriate schedules filled out and attached. The IRS may disallow a legitimate deduction and/or credit if the correct schedule is missing.
Fifth, double check all Social Security numbers or names. Dependent names and SSNs that do not match Social Security Administration records cause the IRS to reject credits tied to those dependents — including the Child Tax Credit and dependent care credit. Verify dependent information carefully, particularly for newborns whose SSNs may have been issued recently.
Sixth, if you have newborn children, you should file form 4547 to claim the $1,000 contribution to a “Trump Account” for that child. Any child up to age 18 qualifies, but no government funding unless born in 2025 through 2028. If you have already filed your return, go to trumpaccount.com to file one for 2025.
Seventh, print out or create a PDF of your entire tax return before sending it off. You should have a special storage place for all your prior tax returns. Never throw away a tax return. You can throw away backup documentation after 7 years.
If you can file using e-file, do it! General rule now is NEVER mail anything to the IRS anymore. Their mail room is broken with no end in sight. Especially, do not mail any checks to the IRS. If they get it, you still run the risk of the data entry person coding it wrong. Instead, you should use the IRS online Direct Pay system.
Have you heard? Prov 14:22b says, “But love and faithfulness belong to those who plan good.”
Kelly Bullis is a Certified Public Accountant in Carson City. Contact him at 775-882-4459. As well as on our website at BullisAndCo.com. You can also find us on LinkedIn and Facebook.
Comments