3 tips to avoiding tax refund delays

Some of us procrastinate on filing our taxes until the last minute, while others file as early as possible in order to expedite their refund. If you fall into the latter category, you may want to ensure you have all of your ducks in a row to avoid unnecessary delays in receiving your payout from Uncle Sam.

Here are three things to keep in mind when filing your tax return:

Address change

If you moved to a new home this year, you probably remembered to notify all of the usual entities – like the post office and your bank. But it can also be beneficial to notify the IRS directly by submitting Form 8822. In addition, if you received insurance coverage through the federal Health Insurance Marketplace, it’s also worthwhile to notify them of your new address as well.

Name change

If you or your dependent legally changed their name in the last year, then it’s especially important that these names match across all IRS cross-checked databases. Be sure to contact the Social Security Administration to notify them of the name change, so that it matches what the IRS has on file. Discrepancies can result in delays.

Certain credits

It’s also important to understand that filings that include certain types of credits – namely, the Additional Child Tax Credit and the Earned Income Tax Credit – come with automatic timelines built in. Even if you file early, the law puts restrictions on when such refunds can be issued. Filings with these credits will not be refunded until late February at the earliest.

Taxes are inherently complicated, and accidental oversight can lead to scrutiny by the IRS. If you’re facing a tax concern, it’s worth consulting with an experienced tax attorney for help.