This year, the IRS began accepting federal tax filings on January 31st, have you thought about filing yet? Have you already filed?
Here are 5 advantages of filing your 2013 taxes early.
So you’re an early filer. You like to get things done and, because you are astute, you reap the benefits of the system. That is, you know that you are getting a return and you want the money now. You will also likely get your money quicker if you file sooner than later. If you wait until the deadline, and the IRS is sometimes backed up, you can expect a delay on your refund.
In the case of student financial aid, the earlier in the year that you file, the more aid you can expect to receive to attend school. Also, because there is a direct connection between your Free Application for Student Aid (FAFSA) and the IRS, the sooner you file, the quicker your aid amount is decided upon. It works very much like a first come first serve basis.
There’s more time to fix errors before the deadline (assuming you don’t/won’t file for an extension). This also helps if there is an error on your taxes after you submit them and the IRS returns them to you for corrections. The only disadvantage to this is filing before certain documents have been released.
By filing far in advance of the April 15th deadline, you will have extra time to fund your IRA for the prior year. The closer to the deadline that you get, the less time you have to get that money together. Consider it a bonus period.
You lessen the opportunity that someone will steal your information and illegally, and fraudulently, files your (forged) taxes. Becoming a victim of identity theft can be a headache, and it happens more than you think. The IRS advises on what do if this happens to you here.
Need help filing your taxes this year? Feel free to contact us for more information on how we can help you with the process.