Last-minute tax tips, ways to increase your refund

Apr 24, 2018

The Tax Foundation defines Tax Freedom Day as the date on which USA taxpayers would theoretically have earned enough to pay the year’s taxes.

With the average respondent receiving a tax refund of $3,119.43 (for reference, recent IRS data pegged the national tax refund average at $3,120), this will likely be the largest paycheck many poll participants will receive throughout the entire year.

Those who file their state and federal taxes online can submit electronically any time before April 18.

In the meantime, you can also find out whether you’ve got an unclaimed refund by visiting this page on the IRS website. “The IRS will never call or email you, so if you receive a phone call or an email from anyone claiming to be the IRS, related to the IRS, or calling about your taxes in any regard it’s a scam”, said Janet.

The government also won’t force you to pay only by a prepaid card. About one million people have still not filed returns from 2014, leaving more than $1 billion on the table. In 2017, the IRS audited 1 in about 160 individual tax returns, the lowest rate since 2002, according to the Wall Street Journal.

But while the IRS made huge strides a year ago in reducing headaches for customers, Clifford pointed out “every tax-filing season has its own story”. The omnibus spending bill passed in March allocates an additional $320 million to implement the Tax Cuts and Jobs Act. And here’s the thing- it doesn’t matter how long ago the over-payments occurred or even if the people are still alive, which is where you could come into play.

Along bipartisan lines earlier this week, the House Ways and Means Committee voted to approve a set of bills to “redesign” the IRS, including measures to help victims of identity theft and create an independent office of taxpayer appeals.

Individuals who owe $100 or more in individual income tax are eligible for a payment plan.

Once your outstanding debt to the IRS reaches $51,000, including interest and penalties, the agency has the ability to revoke your passport. Federal and state tax extension forms are also available locally and online, which allows filing returns by October 15.

There’s also free tax assistance available locally.

As for state income tax returns, the consequences of not filing varies based on where you live.

Fill Form 16A details correctly: Ensure there is no mismatch in the TDS you claim and Form 16 or Form 16A as the case may be.

“You’ll get a note within 24 hours that the IRS has accepted your return”, he said.

Whether taxpayers owe money or are getting refunds, Dodd recommends e-filing.

You have until midnight, Tuesday April 17th, to file your taxes.

Spending tax refunds, many have few options


Leave A Comment