We've all done it, whether staying up all night to write a term paper or skipping the gym for three weeks. Yet if there's one thing we put off until the last minute every year, it's our tax payments. You must file your 2022 taxes before Monday, April 18, 2023.

Returns are typically accepted by the IRS beginning in January. We need help to think of a good excuse for you to put off doing your taxes, as over 75% of filers receive an average income tax refund of $3,039. 1 Filing is beneficial even if you have a tax debt.

Filers Who Submit Early Avoid Delays

Last year was a nightmare for the Internal Revenue Service. The number of paper tax returns still pending processing by the end of May 2022 was 21.3 million, a rise of 1.3 million compared to the same time period in the prior year. Two million people had to wait months and months for their tax returns to arrive reasons to file taxes early.

The IRS had to manually go through a mountain of documentation, a significant contributor. What's their answer? To maximise your refund, submit your taxes early, file electronically, and select direct deposit as your refund method. And remember to double-check all of your paperwork and data. Your tax refund may be held up if you don't submit an incomplete form.

Early Filers Reduce Tax Deadline Anxiety

Sixty-one per cent of respondents in a recent TaxSlayer poll reported feeling stressed at tax time. According to the poll, almost as many people (16%) would instead get a root canal than do their taxes. 4 Whoa! That's pretty extreme anti-tax sentiment.

Worrying and dwelling on a problem incessantly is frequently more detrimental than dealing with it head-on. The same holds for taxes on income. Forms must be completed and submitted, so grit your teeth and get it done money talks 3 big reasons to file taxes early.

Early Filers Average More Outstanding Refunds

Please hear me out: a tax return is not a gift. If you get a big tax refund, you lent the government your money for the year. He's merely giving you back what rightfully belongs to you. If your tax refund is more than a few hundred dollars, you should talk to your company's human resources department about changing your W-4 tax withholdings. To maximise your after-tax earnings, you should minimise your tax refund. You get a raise when you see those bigger paychecks in your bank account.

Early Filers Avoid Identity Theft

When you thought you had finished your tax return, you hit the submit button, and everything fell apart. What the heck just occurred? Your stomach drops as you discover someone else has filed a tax return using your Social Security number to steal your refund.

And it occurs more frequently than you'd imagine. The IRS prevented $26 billion in fraudulent tax refunds involving stolen identities between 2015 and 2019. 7 Even though the IRS successfully prevented many of these heists, criminals nonetheless managed to steal billions.

Those Who File Early Can Plan

It's human nature to delay submitting your income tax return as long as possible when you expect to pay rather than receive a refund. But you will know precisely how much you owe if you complete and file your tax forms, and you won't have to pay anything until Tax Day.

In addition, the more time you have to find the money, the less likely you are to go over your spending limit or use up your savings. Don't bury your head in the sand for the first few months of the year. Find out exactly how much you owe in taxes, formulate a strategy, and pay that amount off as soon as possible.

Gathering the correct documentation the first time around will save you time and trouble. Do you need clarification about what you'll need to submit your taxes?

Early Filers Get Tax Professional Time

You may have learned that it is difficult to get on the calendar of a qualified tax professional while you are in a moment of need. You may need to submit an extension if you require a professional but have yet to schedule an appointment at least four weeks before Tax Day.

Also, when the tax filing date draws near, the fees charged by some tax professionals to do your taxes may increase. Getting in touch with your adviser immediately is the best way to prevent headaches.

There are no hidden costs associated with this programme. A Ramsey might restore your faith in the tax system if your finances are more intricate. They are experts in tax law and are members of our Endorsed Local Provider (ELP) programme, so you don't have to worry about it.