According to Pew Research, 33 percent of Americans do their own taxes, and as April 15 approaches, you definitely want to avoid common tax mistakes so that your experience will be as stress-free and worry-free as possible.
“What I run into a lot is clients not keeping track of expenses, deductions, or charitable contributions,” says Paszkiewicz, “They don't save receipts or record expenses or keep a mileage record during the year (this is a big problem for small business owners); then when it comes to tax time they try to reconstruct their expenses and either they underestimate the expenses or they are afraid to claim them because they don't have the backup documentation.”
Even though the IRS audits less than 1% of all individual tax returns annually, people are still somewhat fearful of being audited, but incorrect filings cost individuals millions of dollars each year.
To avoid the frustration, Paszkiewicz encourages individuals to keep good records during the year, because the time spent will pay for itself come tax time.
If you have tax questions, concerns, or need professional tax preparation, contact Robert G. Paszkiewicz, EA.