Liberty Tax Service names five mistakes when E-Filing your taxes

THE WOODLANDS, TX (January 26, 2016) – More Americans are taking advantage of the ease and convenience of electronic filing at tax time. Even so, e-filing is not without its pitfalls. It’s important to be aware of some common mistakes taxpayers make when filing online.

Dianne Ketcham, owner and manager of Liberty Tax Service in Spring, said, “People often make mistakes with their electronic filing, causing their return to be rejected. That’s why it’s imperative to double-check your work.” She offers this advice to avoid common mistakes:


Incorrect Information – “The number one cause for rejection by the IRS is simple error,” Ketcham said. Misspelled names of taxpayers or dependents are common mistakes, as well as incorrect social security numbers, employer identification numbers or dates of birth. “Go back over everything before you send it,” Ketcham said. “Have someone else look it over to double-check.”

Dependents being claimed by someone else – There are specific rules for claiming dependents. “Only a child or a relative that lives with you can qualify as a dependent,” Ketcham said. “If you are a divorced parent, in order to claim your child who does not live with you, you must have a signed form from the other parent giving permission to claim the child.” Permission from the custodial parent will allow the other parent to claim the child tax credit as well.

Claiming Head of Household status incorrectly – “The Head of Household status is for unmarried people with a qualifying child or relative,” Ketcham said. “If you are married and lived with your spouse during the last months of the year, you cannot use the head of household filing status.” For divorced parents, the Head of Household status remains with the custodial parent, regardless of which parent is claiming the child as a dependent.

Incorrect marital filing status – “If you are married,” Ketcham said, “you must file either Married Filing Jointly or Married Filing Separately.” A person’s marital status is determined by whether or not they were legally married on the last day of the year.

Incomplete return – “A tax return is not complete until the IRS accepts it,” Ketcham said. “Many people e-file their own returns and never go back to see if the IRS has acknowledged receipt of that return.”

Ketcham advises that a rejected return can be corrected. “If you file your return and it is rejected,” she said, “you can correct and file it again, but sometimes you must file a paper return to get it accepted.” Preventing mistakes is critical when filing a tax return electronically. “Remember, e-filing the return yourself is only as good as your knowledge; if in doubt, ask a tax professional.”

For answers to questions about tax preparation, visit www.libertytax.com or call 832-447-1800. “Everyone who completes a paid return before February 13, will receive $50 cash,” said Ketcham. Liberty tax is now opening an additional location in the Woodlands Mall near the children’s play area.