TAX DAY: Start Preparing For Future Tax Seasons
Filing last minute is nothing new for Stan Dahl.
“I don’t think of it as getting it done late, I think of it as getting it done right on time,” said Dahl.
He files his taxes on April 15th every year, but this isn’t the only day taxes are on his mind.
Stan works as a musician and earns deductions for travel and equipment.
He keeps receipts in a manilla folder and a log-book to stay organized.
Tax professionals like Deb Eyestone say it pays to develop a system to stay organized.
“People lose a lot of deductions because they lose track of them,” said Eyestone, a Master Tax Advisor for H&R Block.
Being self-employed, Stan doesn’t have a W-2. Most people do.
If you owe money this year, adjust your withholdings so that more is taken out of each check.
That means the government will make you pay less at tax time.
Tax experts recommend you alter your deductions in accordance with any life change like buying a home or having a child.
“The fewer exemptions you claim, the more money they take out. If you’re concerned about owing at the end of the year, maybe they need to drop a dependent on their W-4 forms.” Eyestone said.
Finally, get your taxes filed or ask for an extension before the deadline whether you owe or not.
If you owe money and don’t file, you’ll be charged 5% of what you owe, up to 25%
Getting a refund? Federal refunds expire after three years.
“Get your forms in as quickly as possible,” Eyestone told Channel 13 News