Tax season is an often dreaded time given the complexity and constantly changing nature of the tax code. With all of the paperwork you may need to gather (W-2s, 1099s, etc.) and the various tax forms to choose from to submit it’s easy to get confused and make mistakes. Further, with all the brainpower it takes to get all the hard things right sometimes it’s a simple mistake that will cost you.
Common mistakes when filing income taxes include

1. Name change or wrong address
It’s an honest mistake should you get married and change last names or move to a new address, but capturing the wrong information here will cause an IRS rejection

2. Incorrect bank account numbers
This is a mistake that could really cost you dearly. Double check your entries and then check them again because an erroneous bank account could end up in routing your refund to another account. Recovering the funds from that kind of error will be a daunting task

3. Failing to report all of your income 
Employers will report your income to the IRS so there’s no way around them knowing the truth. Besides, not telling them the truth will, at minimum, land you a penalty. Furthermore, intentionally understating income with a goal to reduce taxes paid can be prosecuted as tax fraud

4. Incorrect filing status
Your filing status will drive your tax thresholds so depending on your circumstances you will choose generally between Single and Head of Household, or Married Filing Separately or Jointly. Also, please note that it is fraudulent to misrepresent filing status and penalties will be applied if willfully misleading

5. Forgetting credits or deductions
Credits and deductions are your opportunity to offset income and minimize your taxable amount. It can be a complicated task to account for them all, especially given seemingly annual changes to the rules, but you’re leaving refund money on the table or paying out more than you should if you don’t. This might be an area to consider a specialist to give you the best free online tax filing

6. Unsigned tax forms
It’s such a simple step but by the time you’ve gone through hours of excruciating calculations and form box completion you just want to be done. Simply signing the form (both parties for married couples) is often missed, which will lead to the IRS rejecting the submission. If you’re due a refund this will greatly delay payment. Of course, you could E-file using one of the best free online tax filing 2021, like H&R Block, and ensure your electronic signature is captured