It can be tempting to file your taxes early, especially if you are expecting a refund or just want to check off a “to do.” You will typically receive tax forms in February and can certainly begin preparing your taxes at any point.
Our recommendation is to follow this process:
1. February: Get “organized and prepared.” Fill out your CPA’s info sheet and return it to them with any tax documents you have.
2. March: Continue to forward documents to your CPA as they come in and schedule a brief call regarding the preliminary draft. Be on the lookout for any corrected tax forms to forward along to your CPA.
3. April 1: Review your tax return for any potential errors (Form 8606 especially) and discuss any questions with your CPA.
4. April 10-15: Grant approval to your CPA to file or extend, paying any expected money owed by April 15.
Why wait so long to officially file? “Corrected tax forms” are common, even arriving as late as April, yet most arrive by March 25. Having to re-file due to a correction will cost you some extra time, expense, and headache. Following the above process will help eliminate that risk.
