Getting Your Taxes Done Free of Charge

The 2013 tax season is finally here.  The IRS actually started accepting returns on January 30. According to published evidence,  Americans spend more than $100 billion a year on tax preparation(Ballenger, 2013). However, you may  not know it, but the IRS had noted that as much as 70 percent of Americans are eligible for free professional tax preparation and filing software(Ballenger, 2013).  So my question for you is this: why would you overpay to file if you wouldn’t pass up an easy deduction? The bottom line is that it is best to check out cheaper filing options before you rush to make an expensive appointment with a tax filing company. Here are four ways to get your taxes done for  free. Note that these options depends on your age and income level.

Income Level $51,000 or Less

If you belong to the above income level, then you will need to check out the IRS’s Volunteer Income Tax Assistance program, otherwise known as  VITA. With the VITA program, the IRS offer free preparation from trained volunteers, complete with information on tax credits you might qualify for. Most of the VITA include free electronic filing as well. Note that the VITA program is usually offered in schools, malls, community centers, libraries and other thousands of locations across the country. To look up free tax preparation locations under this program, you should search by using ZIP codes or you may call 1-800-906-9887 to find a location near your place of residence(Ballenger, 2013).

Free Tax Preparation for Age Group 60+

Good news: you are eligible for the Tax Counseling for the Elderly (TCE) program if you’re over 60 years old, and have low to mid-income. These preparers provided through the AARP have special knowledge of tax issues related to retirement and pension plans. Note that you don’t have to be an AARP member to qualify. All you need to do is to  use their website and find an AARP Tax Aide near your place of residence. Alternatively, you can  call 1-888-227-7669(Ballenger, 2013).

Free Tax Preparation and Filling for Income Level $57,000 or Less

You are not out of luck either if you’re too young or made too much money in 2012.  Don’t forget that you can use IRS Free File tax software if you make $57,000 or less. By answering  a few basic questions using this software,  the site will help you pick one of several free tax preparation options. Note that, while some of these sites will help you prepare and file free, a number of them do charge some fees(between $10 and $40 ) for filing a state return, amending your federal return, or pulling up a previous year’s return.

Universal Free Online Filing For Everyone

Two main components make up the IRS free file system. The first one is  the preparation help which  is only for those with gross incomes at or below $57,000. The second one is the  online filing part which  is free for everyone. So if you’re ready to fill out your own forms, use the IRS’s Free File Fillable Forms instead of mailing in a pen-and-paper version. Note that, if you get stumped while using the Fillable Forms, you can always get free help from the IRS by visiting a local office or calling them at 1-800-829-1040(Ballenger, 2013).  Another option is to visit the IRS website www.IRS.gov. This website  have every tax publication  online and a searchable FAQ. Even though this website may not be the  simplest thing to navigate, but you can beat the price.

Reference

Ballenger B.(2013): 4 Ways To Get Your Taxes Done Free. Money Talks News. Retrieved February 10, 2013 from http://finance.yahoo.com/news/4-ways-taxes-done-free-121226892.html