Published February 1st, 2023 at 1:00 PM2 minute read
Tax filing season has started! Tax time can be stressful, but it doesn’t have to be. Here are some helpful tips to get through tax time with ease.
Create a system for organizing your tax documents as they arrive. Unfortunately, these documents typically arrive sporadically during January and February and can be difficult to track. Choose a folder in your file cabinet or on your computer where you can stockpile all the documents you’ll need to file.
Make note of anything that is different this year.
The due date for taxes this year is April 18. The Internal Revenue Service will assess penalties if you file late or pay late. Be sure to file an extension if you won’t be able to file on time. You can do this with IRS form 4868 and you can download it from the IRS website.
According to the Better Business Bureau, tax season is a popular time of year for scammers looking to target Americans through emails, phone calls and text messages. They often pose as IRS agents asking for personal information or demanding payment. The real IRS primarily contacts taxpayers through snail mail and will not text, call or email. If they do, it’s usually to set up an appointment, not to collect pay or information.
Look out for recalculated refund scams. A scammer might call saying that your refund was recalculated, and you are owed more than you received. They will then ask for personal information to verify the refund – this is where you get trapped. Also, beware of “rapid’ or “instant” refund claims and predatory loan servicers.
Here are some things you can do starting now to reduce taxes this year and avoid surprises on your 2023 return.
Jamie Bosse (CFP) is a principal with Aspyre Wealth Partners and a board member of the Greater Kansas City chapter of the Financial Planning Association. John McGrath of Kansas City PBS produced the video.