How to Fill Out Your Income Tax Return at Home, and Free

Now that millions are losing their jobs around the world, one has to take advantage of every saving tip, especially if you live in country like USA and Canada where unemployment is raising each day. I can guarantee you that if you know how to turn a computer on, then you can easily prepare your Income tax return seated at your eating table. But, if you do not own a computer, you can go to a public library, and print the tax forms there for less than a dollar.

In USA employees receive (W-2) Form, and have to fill out Form 1040; in Canada, they receive Form T4, and Fill out Form T1. It does not matter which one you must fill out since the only real difference between them is the name and the numbers. If you can fill out USA Form 1040, then you are able to fill out Canadian Form T1, and vice versa. They both ask you for the same things: How much money did you make last year, and tell you how many deductions the government allows you to do. After you make the subtraction, they will tell you if you have to pay or are going to receive a refund. That's all!

How do you find this? Today it is very simple. At this moment there are many Internet free Sites where you can fill out your Income tax return free. And the good news is that you do not need to know anything about income tax laws to have your return ready in about ten minutes. If you live in USA, you can use freetaxusa or taxactonline. The first one is really good since it allows you to fill out you Taxes free if you make less than $54,000 last year.

Just follow these simple steps and you will see how easy it is. Suppose you are single, with no children, and reside in Canada. Today you received your T4 from your employer. You made less than $25,000 last year, and say, now I need $50-75 to pay to somebody else for preparing my return. Stop! You are wrong, you do not need anybody else, what you need is just a dollar and less than 20 minutes typing.

Follow me and save: Turn your computer on; open whatever free income tax programs you want. Now just do what the computer asks you to do. Enter all your personal information. Now take your T4, look at all the little numbers it has. You will see: [14], [16], [18] and [22] (Quebec, uses {17} instead of 16), but they mean the same: CPP Contributions.

I know you are saying, what do I have to do with all these numbers? Nothing! Simply type each amount that you see in your T4 where the computer form ask you to type them. More simple: Type the [14] amount from you T4 in line #14; the [16] amount in line #16; the [18] amount in line #18 and the [22] amount in line #22. That's all! If you see another amount, type it, too. For example, [24] has an amount, type it in line [24] and so on. However, do not dare to type something your T4 does not show. Only what you see in it. your computer does not need more. Your income tax is now ready...and free! Print it! Or send it by internet.

What happen if I have my wife and two children? Nothing. The computer will tell you what to do. Just ask her any question, or click the help button. Anything you want to know about taxes is in there. Simply do what the computer ask you to do. If you have a "dependent", the computer will ask you for his/her date of birth, S.S. number, or if he/she is infirm etc., just answer the questions. Moreover, don't worry about making some mistake, the computer will tell you what is wrong and how to fix it.

Last tips: take your time reading the tax form. Fill out only what apply to you. If a line has nothing to do with your tax situation, leave it blank, do not write in it. But if any line says something that apply to you, put the information that it is asking to you. If you follow these steps, believe me, you would never pay again for something you can easily do at home. And remember, if you lie or make mistakes, The Revenue Agency will correct them. So take it easy! And save for tomorrow.