1. Miscalculating Numbers
– Math mistakes are one of the most common errors
– Can reduce your tax refund or result in you owing more

2. Forgetting to Add or Writing Wrong Name
– Incorrect names are often a problem for new wives
– IRS will scrutinize names that don’t match up

3. Omitting Social Security Numbers
– IRS no longer put SSN on tax labels
– Vital to claiming several tax credits

4. Forgetting About Estimated Payments
– 15 million self-employed people
– Payments each quarter need to be made
– You owe if income isn’t subject to withholdings from:
– Interest income
– Dividends
– Gains from sales of stock or other assets
– Earnings from a business
– Alimony

5. Not Reporting Other Sources of Revenue
– Must report all income from any source
– No minimum amount taxpayers can exclude from gross income
– Gambling, bartering, prizes and awards (with few exceptions) are taxable

6. Not Withdrawing from IRA
– Those who inherited an IRA or are 70 years or older must withdraw
– Otherwise a 50% penalty will be incurred
– Even tax-free Roth IRAs sometimes have withdrawal requirements