In April, working citizens are mandated to file federal income taxes, many of them hoping for a tax return in Stone Mountain, GA and throughout the United States .Unfortunately, preparing in April is far too late, increasing the chances for error or missed deductions.
Below are several benefits filing your federal income taxes early provides.
1. Claim Your Tax Refund Quickly
Filing your tax returns in Stone Mountain, GA or nationally through the electronic process, will deposit the amount of taxes you overpaid into your account in 7-10 business days. If you prefer the traditional route, through snail mail, filing early provides you ample time should your tax documents get lost.
2. Prepare for Taxes You May Owe
If you believe you may owe taxes, filing a tax return in Stone Mountain, GA early will identify the amount owed, enabling you to save before the payment deadline of April 16th. If you cannot pay the entire amount owed, filing early provides time to contact Internal Revenue Service (IRS) to set up a payment plan.
3. Qualify for a Major Purchase
If you received a raise or bonus last year and are planning to buy a home, car or qualify for a major purchase requiring financing, filing your taxes early enables you to use that increased income to qualify. The increased income reduces your debt-to-income ratios, enabling you to increase the loan amount. 4. Avoid a Tax Extension Waiting until the last minute to file your federal income taxes may force you into submitting a tax extension. File early so you have enough time to gather documents to support your tax return in Stone Mountain, GA, more so if you own a company and want to find as many deductions possible.