It’s that time of year again, tax time! Most people do not look forward to doing their taxes but with the availability of filing your taxes online these days, the task has become much less daunting. The IRS expects millions of Americans to file their tax returns online this year. Reports have shown that the use of tax preparation software and online filings, have created a reduction in tax return errors. Not only do these programs save time, most programs will let you file your federal tax return for free if you qualify.
It is always beneficial to follow a few tax filing tips to aid in the process. First, you need to make sure whether or not you need to file a tax return. Second, you should have copies of all your 2010 W-2 forms. Third, make sure that nobody is claiming you as a dependant (mainly for students). Fourth, don’t wait until close to the deadline to file. This year’s deadline to file taxes is April 18th, 2011.
Many people will be expecting a refund instead of having to pay in more money to the government. Filing taxes online can be a great way to ensure getting your refund as quick as possible. It is always recommended to print and keep hard copies of your return in order to provide backup in case there is a future problem.
Although there are various online tax preparation websites to choose from, dealing with one of the better-known companies is probably a good idea. The main three are Turbo Tax, Tax Act, and H&R Block. Most offer free basic federal returns and offer advanced packages for upgraded service. Good luck and happy filing!