Simplified Step-by-Step Guide to Submit Tax Return

Posted on September 13th, 2023

Tax season can be daunting, but with the right guidance, you can breeze through it like a pro. In this guide, we'll walk you through the process of submitting your tax return, demystifying the jargon, and simplifying the steps. Whether you're new to the world of taxes or just need a refresher, you've come to the right place. Let's get started on your journey to understanding how to submit a tax return.

 

What is a tax return?

Before diving into the nitty-gritty of filing your taxes, let's begin with the basics. What exactly is a tax return? A tax return is a document that individuals, businesses, and self-employed individuals submit to the government to report their income and calculate the taxes they owe. It's essentially a financial snapshot of your earnings, deductions, and credits for a specific period, typically a calendar year.

 

How to Submit Tax Returns Step-by-Step

 

Self-Assessment Tax Return

Now that you know what a tax return is, let's delve into the specifics of the self-assessment tax return. Self-assessment is the system in which individuals, including self-employed professionals and business owners, assess and report their own income and expenses for tax purposes. The self-assessment tax return allows you to declare your income, claim deductions, and pay the taxes you owe.

 

Gathering Your Documents

The first step in submitting your tax return is gathering all the necessary documents. You'll need records of your income, expenses, and any deductions or credits you plan to claim. These documents may include:

• Income Statements: This includes your W-2 forms (for employees) or 1099 forms (for self-employed individuals), as well as any additional sources of income.

• Expense Records: Keep receipts and invoices for business expenses, charitable contributions, medical expenses, and any other deductible items.

• Financial Statements: Bank statements, investment statements, and other financial documents can be crucial for accurately reporting your income and expenses.

 

Choosing the Right Tax Form

The next step is selecting the appropriate tax form for your situation. For most individuals, the standard form used is the 1040 form. However, if you have a more complex financial situation, you might need to use additional schedules and forms. If you're unsure which form to use, seek guidance from a tax professional.

 

Filing Options

With your documents and tax form ready, you have several options for filing your tax return:

• Paper Filing: You can fill out a physical tax return form and mail it to the IRS. This method takes longer to process but is suitable for those who prefer a hard copy.

• E-filing: Filing your taxes online is the most convenient and efficient method. It reduces the chances of errors, allows for quicker processing, and provides instant confirmation.

 

Filling Out Your Tax Return

Now, let's walk through the process of actually filling out your tax return:

• Personal Information: Start by entering your personal details, including your name, Social Security Number (SSN), and filing status (e.g., single, married, head of household).

• Income: Report all sources of income, including wages, self-employment income, dividends, interest, and rental income.

• Deductions: Deduct eligible expenses, such as mortgage interest, student loan interest, and medical expenses.

• Credits: Claim any tax credits you qualify for, like the Child Tax Credit or the Earned Income Tax Credit.

• Review and Submit: Carefully review your tax return for accuracy, then submit it electronically or via mail.

 

Deadline and Extensions

It's crucial to be aware of the tax filing deadline, which is typically April 15th for most taxpayers. However, if you need more time, you can file for an extension, which gives you an additional six months to submit your return. Keep in mind that while an extension grants extra time for filing, it doesn't extend the deadline for paying any taxes you owe.

 

What Happens After You File?

Once you've submitted your tax return, you'll want to know what to expect next:

• Refund: If you're owed a refund, you'll receive it in the form of a check or direct deposit. The IRS provides tools to check the status of your refund online.

• Owing Taxes: If you owe taxes, you'll need to make a payment. You can pay online, set up a payment plan, or explore other options to fulfil your tax obligation.

 

Frequently Asked Questions (FAQs)

It's common to have questions about the tax return process. Here are some frequently asked questions and their answers to help you navigate through the complexities:

 

Q1: What Is the Deadline for Filing a Tax Return?

A1: The deadline for filing a tax return is typically April 15th for most taxpayers. However, if the 15th falls on a weekend or holiday, the deadline may be extended to the next business day.

 

Q2: Do I Need to Hire a Professional to File My Taxes?

A2: While many individuals can successfully file their taxes on their own, it's advisable to seek professional help if you have a complex financial situation, significant deductions, or multiple sources of income. Tax professionals can ensure accuracy and maximise your tax benefits.

 

Q3: How Do I Check the Status of My Tax Refund?

A3: You can check the status of your tax refund using the "Where's My Refund?" tool on the IRS website. You'll need your Social Security Number, filing status, and the exact amount of the refund to access this information.

 

Q4: Can I File My Taxes After the Deadline?

A4: Yes, you can file your taxes after the deadline, but it's essential to file for an extension before the due date. An extension provides an additional six months to submit your return. Keep in mind that it only extends the filing deadline, not the deadline for paying any taxes owed.

 

Q5: What Happens If I Make an Error on My Tax Return?

A5: If you discover an error on your tax return after filing, you can file an amended return using Form 1040X. This form allows you to correct mistakes or omissions. Be sure to include an explanation of the changes made.

 

Q6: Can I E-file My Tax Return If I Owe Taxes?

A6: Yes, you can e-file your tax return even if you owe taxes. However, you will need to arrange payment for the amount you owe separately. The IRS provides various payment options, such as electronic funds withdrawal, credit card payments, or setting up a payment plan.

 

Q7: What Records Should I Keep After Filing My Taxes?

A7: It's crucial to retain your tax-related records for at least three years. This includes income statements, expense receipts, tax forms, and any supporting documentation. Keeping thorough records will help in case of an audit or future reference.

These frequently asked questions should provide clarity and guidance as you navigate the tax return process. Remember that each individual's tax situation is unique, so if you have specific concerns or need personalised advice, it's advisable to consult with a tax professional.

You may also want to read our article on How to organise your finances for tax season.

 

Conclusion

In conclusion, submitting a tax return doesn't have to be a daunting task. By understanding the basics, gathering your documents, choosing the right form, and filing on time, you can navigate the process with confidence. Remember that you can always reach out to tax professionals for assistance and guidance.

For expert bookkeeping and tax services tailored to your needs, consider SH's Bookkeeping Services. We specialise in helping individuals and businesses with their tax returns and financial needs. Feel free to get in touch with us at 07962 270599 or email us at [email protected]. Let us simplify your tax journey today.