Normally, the tax season is over and done with by now, but this has been a different kind of year. Due to the coronavirus outbreak, the tax deadline was moved to July 15th which means it’s now crunch time for last-minute filers. Here are some things to keep in mind as you prepare for Tax Day.
The sooner you file, the faster you’ll get your refund
Most people who file a tax return get a refund, so what are you waiting for? E-file now to claim yours. This season, the average refund has been around $2,700. Just think of all the ways you can use the money to improve your finances. You can pay off debt, build your emergency fund or open a Roth IRA to save for your future. Either way, the sooner you file, the faster you’ll get your money.
E-filing is your best option
If you’re used to doing your taxes by hand, now is the perfect time to make the switch to e-filing. Due to the coronavirus pandemic, the IRS wasn’t accepting paper returns for a while. Now that they’ve begun reopening, they’re dealing with a tremendous backlog so it will take much longer for your return to be processed. E-filed returns haven’t been affected throughout this whole ordeal. So, you can e-file now and receive IRS acknowledgement within 24 hours. The fastest and easiest way to do your taxes is with ezTaxReturn.com.
Skip the accountant’s office and file for FREE
Don’t let social media fool you, although people are starting to venture out, the coronavirus hasn’t gone away. Being surrounded by a bunch of people in an accountant’s office is not a risk you want to take. The best thing to do is e-file from the comfort and safety of your own home with ezTaxReturn.com. While other companies raise their rates closer to the tax deadline, we’re still giving away FREE federal returns to qualifying taxpayers. So, don’t let the opportunity pass you by.
Pay your first and second quarter estimated taxes
If you do freelance work or you’re self-employed, you are required to make quarterly estimated tax payments. The first quarter payment is usually due in April, while the second is normally due in June. However, this year you were given extra time to pay because of the pandemic. Both payments are now due by July 15th.
There’s still time to contribute to an IRA for 2019
If you have an IRA and didn’t max out the account for 2019, there’s still time to make it happen. The contribution deadline was moved from April to July 15th so you have extra time to save as much as you can. The contribution limit is $6,000 for most savers, $7,000 if you’re aged 50 or older.
Request an extension if you need more time
The government has already been kind enough to give taxpayers an extra 3 months file, but if you still need more time, we suggest requesting an extension. This will give you until October 15th to file your return without penalty. However, it doesn’t give you extra time to pay any taxes you owe. From July 16th onward, you will begin accumulating penalties and interest.