A final checklist for last-minute tax filers
Even though the April 18 tax filing deadline is looming, as of the beginning of April about 42 million, or 30 percent, of taxpayers hadn't sent in their tax returns. That means lots of people will be scrambling this week to get them finished and filed on time.
But be careful. When you procrastinate and then rush to finish, you're more likely to make a few simple mistakes. These errors can result in the IRS rejecting your tax return. So, here's a checklist to help you get across the finish line safely:
- If you've changed your address since you last filed, make sure to also include a Form 8822 Change of Address with your return. Take the similar step for your state return as well.
- Include all W-2s, 1099s and other required forms and schedules.
- If you're claiming a deduction for a contribution to an IRA, or self-employed retirement plan, don't forget to make the contribution to it before April 18.
- Verify the Social Security numbers for all individuals, including all dependents, listed on your tax return.
- If you're filing a paper return (about 15 percent did so in 2015), make sure to sign and date it. Both spouses must sign a joint return, even if only one had income to report. Anyone paid to prepare a return should also sign it.
- According to the IRS, over 60 percent of late-season filers owe additional tax. If you owe do and you're filing by paper, don't attach your payment to your return. Instead enclose the payment with a form 1040-V Payment Voucher and send it to the appropriate address.
- If you're paying by check, make it payable to "United States Treasury" -- not to the "IRS." This is the most secure because if your check falls into the wrong hands, it's easy to change "IRS" to "I R Simms," or to change the "I" to an "M," and alter it to be payable to "MRS FRAUDSTER." Check here for other payment options when you owe tax.
- If you want the most secure way to pay your taxes, consider having your tax payment electronically debited from your bank account. You can sign up for the IRS Direct Pay service whether you file on paper or electronically.
- When paying your taxes by direct debit, you can specify an account and a payment date up to the April 18 deadline. All you need is the name of your bank, the account number and the Electronic Funds Transfer (EFT) routing number. But first, check with your financial institution to be sure it allows EFT and to ensure you're using the correct routing number, to avoid any payment delays.