Although 2024 tax returns aren’t due until April 15, the IRS began accepting them last month. That means the 2025 tax season is officially underway. And like it or not, you’re going to have to tackle the task of preparing a return to submit to the IRS.
If you want the process to go smoothly, here are three tips to keep in mind.
1. Get your paperwork in order early
There are certain documents you’ll need to file your tax return. These may include:
- Your W-2 from your employer
- 1099 forms summarizing your freelance income
- 1099s from your bank and financial institutions
- Form 1098 listing your mortgage interest
But the time to start gathering those documents is now. That way, if you find that you’re missing a tax form, you’ll have an opportunity to get your hands on it before you run up against the April 15 filing deadline.
Do keep in mind that it’s become more common for banks and financial companies to make copies of 1099s available online. So don’t assume a form is missing just because it doesn’t show up in the mail. Instead, log into your account and see if it’s available electronically.
2. Figure out if you need tax help — and then don’t wait to get it
It’s not a given that you’ll need a tax professional or accountant to file your taxes for you. If you have a fairly simple return that consists mostly of a W-2, and you’re claiming the standard deduction rather than itemizing, then you can probably avoid hiring a tax preparer and paying their fee.
That said, if your tax situation is complicated, it typically pays to get help. And you should consider hiring a professional if:
- You own a business
- You have to file taxes in more than one state
- You have a number of deductions to itemize and want to make sure you get things right
If you decide you want to use a tax professional, don’t wait to hire one. As you might imagine, tax experts are extremely busy this time of year. So the longer you wait to book help, the more you risk getting closed out.
Also, if you do decide to file your taxes on your own, make sure to submit your return electronically. The IRS still accepts paper returns, but filing electronically makes errors less likely. And if your tax-return is mistake-free, it could result in a much quicker refund.
3. Submit your return early, even if you can’t pay your tax bill
The more stressed you are about finishing your taxes on time, the more likely you are to make a mistake. And that mistake could have consequences.
Failing to report income accidentally, for example, could result in a tax audit you’d rather not deal with. And failing to claim the right credits or deductions could leave you with a smaller refund, or with a larger tax payment you’re on the hook for.
That’s why it’s a bad idea to procrastinate during the tax season. You don’t necessarily have to file your return in February, but it’s a good idea to aim to be done by mid-March. That way, you’re building in some time to deal with last-minute surprises, such as missing documentation.
Keep in mind that no matter when you submit your tax return, you don’t have to pay your tax bill until April 15 — the day returns are due. So if you’re worried that filing early will mean having to hand over money early, that’s not the case. And the sooner your return gets done, the sooner you’ll know how much you owe if you’re not due a refund, giving you time to come up with a plan.
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