Why You Should Start Your 2018 Taxes Now
Guest post By Aurora McCausland
It’s finally 2018, and we’re able to leave 2017 in the past. For some, 2017 was a year filled with growth and new business opportunities. For others, it was a year that they do not think of fondly, and are more than happy to leave it in the past. No matter what your experiences were in 2017, it’s time to embrace 2018 with open arms, and hopefully a hefty tax return in your pockets.
Get a head start on your taxes
Tax season isn’t for a few more months, as regular taxes aren’t due until April 15th. Most people wait until the deadline is practically upon them to get started on their taxes. It’s a tedious and time extensive process, and most people put it off as long as possible for that specific reason. However, the longer you put off filing your taxes, the more you’ll have to scramble to gather all of the necessary documents and tax information required to file. Especially if this is the first year that you’re filing taxes a new way, i.e., you recently got married, had children, bought a house, or made the transition to self-employment, you’re going to want to give yourself a little bit more of a time buffer to get things figured out.
A faster return
The sooner you file your taxes, the sooner you can get your tax return. Some people don’t really care about when their tax return hits their bank, but others count on it in their yearly budget. What are you planning to do with your tax return? Are you going to be putting it straight into savings or a retirement account, or have you been waiting for your tax return to pay for an expensive piece of furniture or appliance? If you fall in the latter category, filing your taxes early will help you take advantage of the beginning of the year sales so your expenses will be less expensive. Presidents Day, in February, will help you get a great deal on whatever you’re hoping to purchase, so having your tax return in hand before those sales start, may be a good idea.
In addition, the closer it gets to tax day(in April), the longer it will take for you to receive your return. This is because most people do wait until April to file their taxes, meaning there are a lot more refunds and returns to process! Getting in ahead of everyone else will mean you can expect a much quicker turnaround in getting your refund deposited into your bank account.
Learn about what you can claim
Even if you consider yourself a tax pro, there are still things you can learn about filing your taxes more efficiently to get the best possible return. Things like dependents, new business ventures, and properties/other assets, are things that you can claim that will affect the size of your tax return. Upgrading certain assets will make your tax return a little bit bigger. Things that are sustainable and good for the environment are things that you can claim on your taxes. Keep this in mind as you do home renovations throughout the year! You’ll also want to keep track of all of your charitable contributions because you claim those on your taxes and receive a tax break in return for your generosity. Most people don’t actually take full advantage of all of their assets and claiming everything they own on their taxes! 2018 is your year, so make sure that you head into it with properly filed taxes and as large of a tax return as possible. If you’re unsure of what you’re able to claim(as most of us are, honestly), don’t be afraid to talk to a tax consultant or your financially savvy friend, as they can most likely shed some light on the subject, lend a hand, and help you file your taxes more efficiently this year. What are you waiting for? Grab your W2, that manila folder full of business receipts, and get started filing those 2017 taxes!