When it comes to filing taxes, procrastinators pay double
Have you procrastinated on your taxes? Then it’s time to make a resolution for next year because it’s probably costing you twice as much to meet that IRS deadline.
Those taxpayers who file in April, or file an extension, pay an average of $163 compared with $87 for those who file in January or February, according to a Tax Prep survey by TechBargains.com, a website that aggregates information on deals available online.
Waiting to the last minute could also impact how you feel about your tax preparation method, the survey of more than 1,100 respondents found. About 89 percent of early filers felt positive about their tax prep method whereas just 62 percent of procrastinators felt good about it. In general, most people file their taxes in March, TechBargains said.
When it comes to actually preparing taxes digitally, traditional devices, including laptops and desktops, are still the norm. More than half of those who file online or use software use a desktop and 45 percent use laptops. Just 2 percent use smartphones or tablets. Taxpayers spend about $114 on tax preparation. The average cost of tax prep software is $54, less than the $60 spent filing through a website and the average $266 spent to hire an accountant.
For next year, and in 2013, most respondents indicated that old habits die hard: A little more than a third plan to use software, as they did this year, about 31 percent will file online, and 28 percent will hire an accountant. Only 1 percent plan to use a mobile app.
Remember, this year’s tax deadline is April 17th!
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