There are a few critical steps that taxpayers and their preparers can take to avoid becoming a statistic in the current backlog. The two most important documents to safe-keep are IRS letters confirming the amounts of Advance Child Tax Credit payments for families with children, along with the third stimulus payment most people received in April 2021. Every return with a discrepancy between the agencyís records and the amounts reported on the tax return will be routed to a department designated to manually reconcile and recalculate these differences, and refunds will be significantly delayed.Other important steps preventing a delay in the processing of your return is to file early. IRS filing season opens on Jan. 24 this year; file electronically and elect to receive your refund through direct deposit versus a paper check.The due date for filing individual tax return, Form 1040, will fall on April 18, rather than the usual deadline of April 15, because of the Emancipation Day holiday celebrated in Washington, D.C. Taxpayers can extend the time to file until Oct. 17 by filing Form 4868. This extension, however, does not extend the time to pay, and any tax due for 2021 is due by April 18 to avoid interest and penalties.Whether you self-prepare your tax returns or rely on a tax professional, following the above steps will help significantly reduce headaches associated with the annual filing obligation.Lea Grady owns TopFlight CPA; her contact number is 720-607-8115
