Taxes

Tax Refund Myths

The tax season is rife with confusing myths and alarming scare tactics aimed at convincing you that you can’t possibly handle this annual task on your own, and if you do you surely won’t walk away with much. Perhaps you’ve heard that you can’t get a big refund without an accountant. However, the help of live accountants is becoming less important every year as smart technology takes over the task. In 2015, only 22 percent of filers used an accountant and 18 percent turned to a tax preparation service. Meanwhile, 37 percent used computer software.

The idea that you won’t get much money is a myth as well. In 2015, the average refund was $2,815. Wondering what everyone’s doing with that cash? Popular misconceptions tell you that most people blow their refund without a second thought. The truth, however, is that 28 percent will save or invest it and 30 percent will use it to pay down debt. Just 7 percent tend to splurge on something nice like a sleek Apple Watch or a much-needed vacation.

Tax time can seem daunting, but it’s important to remember that this task isn’t nearly as complicated as it seems. You can file quickly and easily all on your own with an online preparation service, take home more money than you anticipated, and put it all to good use. To learn more about the facts behind tax myths, check out the infographic below.

Tax Myths IG

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