Tax season tends to be quite a stressful time, and mistakes can make it even worse—potentially turning a normal filing routine into a costly headache.
With tax day approaching quickly, just ten days away now, even minor errors can lead to delays in refunds or notifications from the IRS, which could include unexpected penalties.
Here are five common mistakes to watch for and tips on how to avoid them.
1. Choosing the wrong filing status
Your filing status is crucial when it comes to determining your tax rate, standard deduction, and eligible credits. If you select incorrectly, you might end up paying more than necessary or face delays if the IRS flags your return.
Changes in personal circumstances, like marriage, divorce, or having a child, can complicate this. It gets even trickier for those uncertain about qualifying as a “head of household” or as a “qualified surviving spouse.” Even seemingly straightforward situations might not be so simple under IRS regulations.
In particular, taxpayers who are heads of households could miss out on significant benefits if they make a mistake, as it generally offers a better standard deduction than filing singly. However, strict criteria exist regarding household expenses and qualifying dependents. Missing these can result in having to repay any benefits plus potential penalties.
If you’re unsure, the IRS has a helpful Online Application Status Tool, and many tax software options can guide you through choosing the right status.
2. Leaving credits unclaimed
One of the most significant blunders during tax season is neglecting to claim all the deductions and credits you’re entitled to. This oversight can lead to lower refunds or bigger tax bills.
“The main mistake people often make is not fully understanding or failing to explore the deductions available,” said Bill Sweeney, AARP’s senior vice president for government affairs.
The average tax refund mid-season can hit around $3,700, according to the Treasury Department.
Sweeney cautioned against using last year’s return as a template because of recent changes. It’s essential to reassess your situation to ensure no money is left unclaimed.
3. Missing important deadlines
While tax extensions can provide extra time for filing, they don’t give you an extension on payments. For most people, the IRS payment deadline remains April 15, 2026, regardless of whether you file for an extension.
“Even with an extension, your payment is still due by April 15,” stressed Mike Volkender, co-chair of American Prosperity at the America First Policy Institute.
Volkender advised taxpayers to estimate their bills and try to make payments by the deadline to avoid added penalties.
If full payment isn’t feasible by April 15, paying as much as possible can help mitigate penalties and interest on unpaid taxes.
4. Incorrect bank account information
If you opt for direct deposit for your refund, be careful with the routing and account numbers. Just one incorrect digit can lead to delays in receiving your refund. Similarly, setting up direct debit for payments with the wrong details can cause payments to be declined, resulting in penalties and interest.
5. Filing before receiving all necessary forms
Timing is essential when filing tax returns. Submitting your return before you have all your critical documents, like W-2s or 1099s, may lead to mistakes and potentially require you to amend your return later.
Faulkender pointed out a simple way to verify your information is correct prior to submitting. Creating an account at irs.gov allows you to see all details connected to your tax ID.
While most documents should arrive by January or February, if they’re lost, you can still check what’s been filed using your account on the IRS site. It’s best to wait until you have all your documents before filing, especially if you have debt, as late submissions can incur additional costs.
