Procrastinate on your laundry, your house-cleaning, and your honey-do list, but don’t procrastinate on filing your tax returns. Waiting until April 15 is stressful for you and your CPA, and there are also some little-known benefits to filing sooner rather than later.
After the cash strap of the holiday season, get that refund money into your bank account as soon as possible. Put it toward your New Year’s resolutions, your spring break vacation or pay down some debt. The sooner you get your refund, the better position you are in to manage your finances for the year and plan ahead.
Know what you owe
If you’re on the other side of the coin and facing some tax liability, it’s better to know your tax bill ahead of time. Knowing what you owe on the state and federal level gives you ample time to save money or reorganize your finances before the balance is due.
Fraud or ID theft
During the 2017 filing season, the IRS estimates there were around 900,000 false tax returns and $10 billion in fraudulent refunds. If you file your taxes early, you’re less likely to become one of these victims. Criminals can’t file a return in your name if you’ve already completed it. Protect yourself and file early.
Having your tax documents organized and ready for the preparer makes for a smoother and simpler tax experience. Use your tax preparation checklist provided by Simma Flottemesch & Orenstein to gather the necessary information and documents for every person in your household. From W-2s to charitable donation receipts, having the right documentation will save you time and money while we make sure you get every possible deduction and credit you qualify for.
More time to find assistance
The closer it gets to April 15, the busier your CPA team gets. If you discuss your taxes with your CPA earlier in the “tax season,” you’ll have a greater opportunity to ask questions and get advice about your individual situation. An early visit will also allow you more time to correct any errors or make alterations to your return.