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Saturday, January 3, 2009

Who Needs Tax Filing Help?

By Peter Donaldson

There are many reasons to get tax filing help, especially if you are not knowledgeable about tax laws and filing tax returns. Most people think that tax laws are complicated and they do not want to prepare their tax returns themselves so they take their tax documents to tax preparation services each year.

While it is fine to take tax documents to a tax prepare to get tax filing help, it is best if the taxpayer understand how to file his or her own tax return. By understanding tax credits and tax deductions, the taxpayer can ensure that the tax preparer helps him or her claim as much as possible from the IRS.

Many people rely too much on the tax preparers or tax accountants that they miss out on some tax deductions or tax credits. The tax preparer or tax accountant does not know everything about you and unless you tell him or her, it will not be used in your tax return to your advantage. If you know how to claim tax deductions or tax credits, you can make sure that the tax preparer or accountant claims everything that you are entitled to claim accordingly.

Some taxpayers are brave and do not want any tax filing help. They would rather save the money that they would pay a tax preparation service and do it themselves. Taxpayers can save anything from less than $100 to over hundreds of dollars in tax preparation fees if they do it themselves. It can be worth it but taxpayers must make sure that there are no mistakes that could be avoided.

Getting tax filing help, no matter from whom, can help a taxpayer avoid mistakes that he or she might make. If a taxpayer discovers later that he or she made a mistake in his or her tax return, he or she needs to file an amended tax return to avoid getting into more trouble with the IRS. Most of the problems can be prevented if the taxpayer is cautious when preparing his or her own tax return.

Another way to prepare a tax return is to make good use of a tax prep software. A tax software usually has a built in tax filing help section. A taxpayer can just answer simple questions about himself or herself and let the tax software do all the necessary calculations. This is a very easy way to prepare tax returns and also file electronically.

In general, it is best to get the tax filing help you need before you file your tax return. You can avoid the headache of having to file an amended return by making sure that everything is reported and claimed correctly the first time. There are many organizations that offer tax filing help for free.

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