Tax Mistakes

Even small errors on your tax return can lead to delays, audits, or penalties. Being aware of common mistakes can help you file accurately and avoid problems. This article highlights the most frequent tax filing errors and how to prevent them.

Math Errors

Simple calculation mistakes are among the most common errors:

  • Double-check all calculations
  • Use tax software or calculator
  • Verify totals before submitting
  • Review addition and subtraction carefully

Solution: Tax software automatically calculates, reducing math errors. If filing manually, use a calculator and check your work multiple times.

Incorrect Social Security Numbers

Wrong or missing SSNs cause significant delays:

  • Verify all SSNs match Social Security cards
  • Check dependents' SSNs carefully
  • Ensure numbers are entered correctly
  • No missing digits or transposed numbers

Solution: Have Social Security cards on hand when filing. Double-check each number before submitting.

Missing Signatures

Unsigned returns are invalid and will be rejected:

  • Both spouses must sign joint returns
  • Sign in the correct location
  • Use the same name as on your Social Security card
  • E-filed returns require electronic signature

Wrong Filing Status

Choosing the wrong filing status affects your tax liability:

  • Single: Unmarried, divorced, or legally separated
  • Married Filing Jointly: Both spouses combine income
  • Married Filing Separately: Each spouse files own return
  • Head of Household: Unmarried with qualifying dependents
  • Qualifying Widow(er): Widowed with dependent child

Solution: Understand each status and choose the one that best fits your situation. A tax professional can help determine the most beneficial status.

Overlooked Income Reporting

Failing to report all income can result in penalties:

  • Report all W-2 income
  • Include all 1099 forms
  • Don't forget side gig income
  • Report interest and dividends
  • Include rental income
  • Report unemployment benefits

Solution: Gather all income documents before filing. The IRS receives copies of all W-2s and 1099s, so unreported income will be caught.

Improper Deduction Claims

Claiming deductions you're not eligible for can trigger audits:

  • Only claim deductions you qualify for
  • Keep proper documentation
  • Understand deduction requirements
  • Don't inflate deduction amounts

Solution: Understand deduction rules or consult with a tax professional. Keep receipts and documentation for all deductions.

Mistakes with Dependent Information

Errors with dependents can cause issues:

  • Correct SSNs for all dependents
  • Verify dependent eligibility
  • Don't claim same dependent twice
  • Understand qualifying child vs. qualifying relative rules

Wrong Bank Account Numbers

Incorrect direct deposit information delays refunds:

  • Double-check account and routing numbers
  • Verify account is still active
  • Ensure account accepts direct deposits
  • Use correct account type (checking vs. savings)

Solution: Copy numbers directly from a check or bank statement. Verify with your bank before submitting.

Importance of Good Records

Keeping good records helps avoid mistakes:

  • Organize all tax documents
  • Keep receipts for deductions
  • Maintain accurate income records
  • Store records for at least 7 years

How a Tax Professional Can Help

Working with a tax professional reduces errors:

  • Expert knowledge of tax laws
  • Experience identifying errors before filing
  • Access to professional tax software
  • Review and double-check all information
  • Representation in case of audit

At JVS Tax Services, our experienced tax professionals review every return carefully to catch errors before filing. We ensure accuracy, maximize your deductions, and provide peace of mind. Contact us today to file your return with confidence.