12 Most Common Taxpayer Mistakes
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Charles Dharapak, AP
The Dolans' Dirty Dozen
How many pages long is the United States Tax Code? If you guessed 18,500, you win the prize. So, it's no wonder that so many of us make mistakes when filing our federal income tax forms. But a mistake or two on your tax return can bring you unnecessary stress, delay your refund or subject you to an appointment with an IRS agent.
Avoid all that. Personal finance experts Ken & Daria Dolan show you how to steer clear of these frequent fouls.
Next: Mistake No. 1More Tax Tips:
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No. 1: 2 + 2 = 5
Math mistakes are one of the leading reasons the IRS adjusts returns. We know this sounds basic, but please double-check all figures on your return and use a calculator!
Next: Mistake No. 2More on Taxes:
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No. 2: Incorrect Address
If you choose to file a paper return, be sure to use the address label off the tax return the IRS sent you. (You can make any necessary corrections right on that label).
If you do not have a peel-off label, fill in all requested information in your very best writing so it's clear as can be. An incorrect address can lead to a delay in processing your return, or worse, IRS correspondence and refunds being sent to the wrong address.
Next: Mistake No. 3More on Taxes:
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Dennis Cook, AP
No. 3: Incorrect Filing Status
Check only one filing status on the tax return and check the appropriate exemption boxes. Claiming the wrong status could negate your ability to claim the child tax credit, the earned-income credit and dependent exemptions.
Next: Mistake No. 4More on Taxes:
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Cassandra Shie, AOL
No. 4: Using the Wrong Tax Table
If you use the IRS tax tables, be careful to use the correct column for your filing status.
Next: Mistake No. 5More on Taxes:
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No. 5: Incorrect/Missing Social Security Number
The IRS computers will automatically reject your credits and deductions if your Social Security number is wrong.
Next: Mistake No. 6More on Taxes:
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No. 6: Direct Deposit Routing Errors
If you are asking the IRS to deposit your refund directly into your account, you must be sure you provide the right information. If your account number or routing number is off, your money will float forever between financial institutions!
Next: Mistake No. 7More on Taxes:
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No. 7: Incomplete/Missing Documentation
A complete set of supporting documents is vital to the efficient processing of your return.
If the IRS can't verify the information that you provide, it may decide to make its own adjustments!
Attach all necessary forms and schedules (your W-2, 1099s, etc.) and, especially receipts that back up your deductions/credits to your return as well.
Next: Mistake No. 8More on Taxes:
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Cassandra Shie, AOL
No. 8: Failure to Include Payment
If you do owe money ... enclose a check or money order with your tax return and write your Social Security number, tax form number and tax year on the payment.
Next: Mistake No. 9More on Taxes:
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Cassandra Shie, AOL
No. 9: Failure to Take Tax Credits and Deductions
Each year the IRS collects millions of dollars in overpaid taxes thanks to taxpayers who don't claim all the deductions and credits available to them whether they itemize or not.
Such credits and deductions include child and dependent care expense, student loan expense, moving expenses, alimony paid and tuition expenses.
Next: Mistake No. 10More on Taxes:
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No. 10: Sending the IRS Your Only Copy
Be sure to make a copy of your return and all documentation for your records in case you have to go into battle with the IRS.
Next: Mistake No. 11More on Taxes:
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Cassandra Shie, AOL
No. 11: Failure to Report All Income
Unreported income is a serious mistake that can lead to civil and criminal sanctions, even if it was an accident. Don't chance it -- double-check that you have reported any and all income.
Next: Mistake No. 12More on Taxes:
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Cassandra Shie, AOL
No. 12: Failure to Sign and Date the Return
It's the easiest part of filing but one of the most common mistakes people make. As far as the IRS is concerned, if you don't sign the return, you haven't filed. And we all know not filing means all kinds of problems and penalties! Don't forget both spouses.
· Article: 12 Most Common Mistakes
Next: Most Missed DeductionsMore on Taxes:
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AOL Editor's Pick:
13 Most Missed Deductions
Don't overpay your taxes by overlooking one of the moneysavers we're about to share. Here's a baker's dozen of the most overlooked tax deductions.
Most Overlooked Tax DeductionsMore in Money & Finance
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Recent Comments
Spudmudd 09:00:24 PM Jul 23 2009
IIf a man dies and has not file his taxes for the past two yrs and his son received life insurance thru his employer would his son be responsible for any taxes owe to the irs?
Locator DANNY Mc 04:13:06 PM Jun 30 2009
I will no longer give these dumb,lazy thieves my money to give to ACORN or any other of the bottom feeders. Jail yea thats ok they cannot lock up everyone,they can go to HELL!!!!
digmen51 10:38:43 PM Mar 05 2009
i get 1200,00 from IRS last year and today they say gaveme 1900,00 so they do mistakes too
Dentaldmd 03:41:29 PM Feb 26 2009
The myth of social security is that it secures society's future. The myth of the "American Dream", to own your own home -- after paying a 10% downpayment, and more than triple the principle of trhe original loan, for 30 years, plus the cost of maintenance, and increasing property taxes. The American Dream is exactly that, a corporate and government inspired scam -- a dream called a ludicrous nightmare.
Jrdw006 10:31:29 PM Apr 14 2008
o.j.owes the IRS??????what can't they put him in jail for tax evasion. He receives $25,000. a month from his pension, and income from appearances and signing memorbilia and just his signature. I just don't understand this government. The statement "gets away with murder"...if the shoe fits wear it .O.J. He is laughing at the govenrment, the IRS, the law, the 2 families he did an unspeakable trip on their emotional and stablization of life.The man has no conscious toward anyone, the above aforementioned and even his own 2 children by Nicole. NO PERSONAL PRIDE JUST AN UNBOUNDED EGO,that EVEN A WILD UNTAMEABLE ANIMAL WOULD NEVER TREAT THEIR OWN
CHILDREN OR FAMILY.Animal Planet is a perfect example on how animals treat their siblings, their own births, and without taming. Those drugs must be mighty to erase a conscious. jw.
Pamesurfside 09:58:11 AM Apr 14 2008
Waterlover,
How do you know that your hubby's first wife did nothing but sit on a couch for 20 years? Even if this is so, I am glad that someone does watch out for first wives because usually they get the short end of the stick financially. I was married over 25 years to a verbally abusive, sometimes physically abusive man who made life for me and our 4 kids very unpleasant most of the time. I finally decided to leave, and because he makes a very good income, I am fortunate enough to get a decent amount of child support/alimony, but it is still 1/3 of his monthly income for 3 people. He has the other 2/3. I am now a full time student and working part time while getting an education so that I can support myself. Also, my dad left my mom for another woman with whom he had an affair after being married to my mom for 20 years. My mom was the one who was there working and helping him while he was a poor medical student. Now the 2nd wife who broke up his marriage(which he allowed) i
Cynjach 09:20:58 PM Apr 13 2008
you don't go to jail if you don't pay taxes---I know myself a handfull of people who haven't filed or paid in over 20 years!!!!
RichardUSN 01:25:04 PM Mar 29 2008
Lancelnc9: You are one of the ignorant ones you are talking about. We are not in debt to the developing nations, we have given developing nations billions in aide.
And what Bush did when he went to war in Iraq was to enlighten the world about
what the Muslim extremists want to do to the Christians. He very likely has saved
the world from destruction.
RichardUSN 01:18:10 PM Mar 29 2008
Lancelnc9: You are certainly one of the ignorant ones you are talking about. When
Bush went into the war with Irag he had enough information to know WMD were
being produced that Iran later moved to their country before our troops ever got there. And when have we ever borrowed money from developing nations to be in
debt to them. We have given under developed countries Billions in aide and do you
think we will ever get it back. People like you want a hand out and think you deserve it. You probably haven't worked at a job in years. It just may be that what
Bush has done to enlighten the world about what Islam wants to do to the Christians just might save the entire world we live on, including your sorry ass.
Lancelnc9 11:57:56 AM Mar 25 2008
Bush holding up the tax books? He is responsible for a war with Saddam which intelligence agencies told him was not based on reliable evidence. This was a war of overfueled egos-Bush, Cheney,Rumsfeld. They are why our debt to developing nations is in the billions and climbilng each month. Worried about Democrats amd social; spending? Buddy you are going to need some help someday to make up for the tons of red ilnk and tax cuts for the rich that Bush has linstituted. Don"t worry about spending on health care or the infrastructure- the neocons want to scare uneducated people wilth such as this while they pour billions into the trash can and don't want to pay for it
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