5 Tax Things NOT to Worry About

5 Tax Things NOT to Worry About

Tax day is coming....  Here are five things you DON’T have to worry about, even if haven’t filed yet.

  1. Wow. I get an extra weekend to do my taxes.   Unbelievable, right?  April 16th is Emancipation Day in the District of Colombia—this year it’s being observed on Friday, April 15th.  A local holiday for Washington, D.C., Emancipation Day commemorates the day President Lincoln gave thousands of slaves living in the District their freedom.  A local holiday benefits us all.  The folks at the IRS have a day off, and the filing deadline is extended to Monday, April 18th.
     
  2. You’re waiting for Form 1095-B or 1095-C.   If you participate in an employer-sponsored health plan, these forms report the type of coverage you have, the dependents covered by the policy, and the period of coverage.  If your employer hasn’t sent you the form yet, don’t worry.  Per the IRS, you do not need this form to file your taxes.
     
  3. IRA and Health Saving Account (HSA) contributions.   Yes, you still have time to make a contribution to your IRA and/or HSA!  You have until the filing date of April 18th.
     
  4. E‑Filing.   Electronic filing is increasing every year.  According to the IRS, almost 129 million taxpayers filed their tax returns electronically in 2015.  One of the benefits of e‑filing is a decrease in mathematical mistakes.  Additionally, if you’re due a refund, the IRS says you can expect it in 9 to 10 days if you e‑file, compared with 2 to 3 weeks if you file on paper.  If you owe, the IRS offers payment options.
     
  5. Prepare for next year.   You’re just about done.  To get started on next year, purchase a nice folder and start sorting and filing your receipts.  Commit to this monthly.  You’ll be surprised how organized you are when you start the tax preparation process for 2016.