Why it Makes Sense to File Taxes Early

 Posted on January 03, 2015 in Taxation Law

Tax filing season is upon us, and some persons will be very sensible, and file their taxes earlier than the rest. There are definitely advantages to filing taxes before everyone else does.

When you file your taxes quickly, you will be first in line for your refund. Many people anticipate refunds, when tax season rolls around, and for these people, the quicker they file their taxes, the quicker they are eligible for a refund.

Filing your taxes early also reduces the risk that you will be victimized by identity theft. This is a very serious crime, and there are far too many cases involving taxpayers who had their identities stolen and suffered severe financial losses as a result. In fact, in 2014, the Internal Revenue Service actually included identity fraud or identity theft, as one of the many scams that taxpayers in the United States need to avoid. In many of the most popular schemes, fraudsters steal personal information, and file fake income tax returns.

Fling early also helps you catch mistakes that were made in your filings, and correct those mistakes. If you file your tax returns at the very last minute, you may not have enough time to correct any errors that may have occurred during the process. Some common mistakes that occur in the filing process are choosing the wrong filing status option, or the wrong Social Security number or other number. When these mistakes are made, they can spell disaster for your filing, and if you're able to catch them before filing season ends, you are definitely an advantage.