The deadline to file your taxes is less than a month away, and if you’re doing them for the first time, you might be feeling added pressure. “It’s an incredibly daunting and stressful experience for many of them,” said Miklos Ringbauer, a certified public accountant based California. Planning ahead, doing your research and talking with experts can help first-time filers feel better about their taxes, Ringbauer said. The deadline to file your 2024 taxes is April 15. If you run out of time, you can file for an extension until Oct. 15. The extension is only to file your taxes, not to pay them. If you think you will owe taxes, you should pay an estimated amount before the deadline to avoid paying penalties and interest. If you expect to receive a refund, you will still get your money when you file your taxes. Here are some expert recommendations if you are filing taxes for the first time: Gather your documents The first step is to gather all the relevant documentation, said Eva Simpson, vice president of Member Value, Tax & Advisory Services for the American Institute of CPAs. “Tracking down documentation is key, especially if they may be in college and have correspondence sent to their parents house,” Simpson said. Ringbauer also recommends that you make a folder, either physical or electronic, with all of the documents you need so it’s easier to file your taxes. While the required documents might depend on your individual case, here is a general list of what everyone needs: — Social Security number — W-2 forms, if you are employed — 1099-G, if you are unemployed — 1099 forms, if you are self-employed — Savings and investment records — Any eligible deduction, such as educational expenses, medical bills, charitable donations, etc. — Tax credits, such as child tax credit, retirement savings contributions credit, etc. Talk to your parents Many young adults are still receiving some financial help from their parents when they’re ready to file their taxes for the first time. It’s important that first-time filers communicate with their parents in case they are being claimed as dependents, Simpson said. “Being claimed as a dependent affects their standard deduction and eligibility for certain credits,” said Simpson. Having a conversation with your parents will prevent you from claiming tax credits that you might not qualify for if they claim you as a dependent. If your parents claim you as a dependent, you will add this information to your tax return. Know about tax credits and deductions Knowing if you are eligible for any tax credits and deductions is a crucial step when filing your taxes, Simpson said. Tax credits can lower the amount of taxes you owe or increase the amount of your refund. Some relevant tax credits for first-time filers include the American Opportunity tax credit and the Earned Income credit. When it comes to deductions, you can either opt for a standard deduction or itemize. Itemizing generally only makes sense if your itemized deductions add up to more than the current standard deduction of $14,600 for a single filer and $29,200 for a married couple. “In many cases, first-time filers won’t need to be itemizing their expenses,” said Simpson. Doing research or asking a professional for the types of deductions and tax credits you qualify for can save […]