When the coronavirus pandemic occurred, the IRS allowed us to push back the tax-filing deadline from April 15 to May 17. But some of you may want to get your IRS refund now. Of course, you have an extra month to get your returns in order. Those of you who owe the IRS also have extra time to come up with the money. Earlier this year, it seemed like the IRS was holding firm on the April 15 filing deadline for 2021 or where going to give us until July like last year. But the agency officially announced May 17, 2021 as the deadline. Below, we will show you why you should file right away.
1. You Can Get Your Refund Now or Sooner
Those of you owed a refund should not hesitate to get your money ASAP. You don’t even have to wait until the usual April 15th deadline. The sooner you file your federal taxes, the sooner you will receive your refund. In fact, there are a few ways to get your refund now. Most include taking out a loan for the amount and paying a fee. However, we don’t recommend that course of action unless you need the money now.
2. Don’t Get Scammed
Each year, scammers do their best to file phony taxes and collect the refunds of others. They know the filing deadline has been pushed back. They are hoping you wait until the last minute. This way, you may have had “your taxes filed” for months without realizing you have been scammed, and your refund is long gone. File your taxes ASAP to prevent this.
3. Put the Money to Use
You can find tons of uses for your refund even though you may not need the money. Did you know the average refund for this year is $3,061 according to The Motley Fool. They recommend investing your refund in an ETF. The top three they recommended as of March 17, 2021 included:
- iShares Russell 2000 ETF – Current value is 227.01.
- Invesco QQQ ETF – Current value is 313.14
- Vanguard S&P 500 Index ETF – Current value is 359.36.
These ETFs were selected because they had tripled in value over the last 10 years. There is no guarantee they will do the same in the next ten. However, we do recommend doing the research and consulting a professional before investing.
4. The Same Goes for Small Business, Self-Employed, Etc.
Are you a business and usually file by March 15th? The new deadline extends to you as well. Likewise, so does our advice on filing early to get your refund, prevent scammers, and using the money for investment purposes. However, if you owe money and need time to get it together, you may wait.
Houston Bookkeeping & Tax Filing for 2021
Are you a business or individual who needs helping to get your IRS refund now. Feel free to contact us to get help get filing your personal and / or business taxes.
