Step-by-step guide: How to file your tax return in 2025
It's time to file your taxes. The Internal Revenue Service (IRS) has already started receiving returns and taxpayers have until April 15, 2025 to complete them.
Taxes
Tax filing time has arrived. The Internal Revenue Service (IRS) has already begun receiving tax returns, and taxpayers have until April 15, 2025 to complete them.
Before starting the process, the taxpayer must itemize the gain for the year to be declared. Then, you must decide whether to opt for the standard deduction or an itemized return, this may influence the tax benefits you receive. This is the step-by-step on how to file a return correctly and avoid mistakes as much as possible:
Collect essential documents and define filing status
Depending on employment and financial status, different forms will be needed (if you're not sure which form you need, the IRS website offers detailed guidance):
- Employees: will receive a W-2 form from their employer by January 31, which details your salary and tax withholdings (that one must be filled out).
- Self-employed or contractors: should obtain form 1099-NEC, which shows your self-employment income.
- Investors: if you received dividends or interest, you may need forms 1099-DIV or 1099-INT.
- College students: if tuition was paid, Form 1098-T will help calculate deductions and education credits.
- Other documents: if you want to itemize your deductions, receipts for donations, medical and business expenses should be kept.
After collecting the documents, it is necessary to define marital status, as it affects filing requirements, standard deductions and eligibility for certain tax credits. Filing options are as single, married filing jointly or separately, head of household or widowed with dependent child. How much you contribute to household expenses also plays a role.
How to file your return, deductions and deadline
The IRS recommends filing electronically, as it reduces errors and speeds up refunds. The IRS offers assistance to low-income individuals, seniors, military and people with disabilities.
- Online filing: if your Adjusted Gross Income (AGI) is $73,000 or less, you can use the IRS Free File program to file for free.
- Tax software: there are several IRS-certified online platforms that offer step-by-step guides.
- Paper filing: you can also file by mail, but this method may take longer to process.
Two types of deductions can be taken. According to the IRS:
- The standard return: "specific dollar amount that reduces the amount of income on which you have to pay taxes."
- The itemized return: "expenses that can be claimed on your tax return. These may decrease your taxable income."
If it's time to pay taxes, you must do so online through the IRS website. You can make full payments or set up an installment plan.
Thefiling deadline is April 15, 2025. In Maine or Massachusetts, the deadline is extended to April 17, 2025 due to state holidays. It is important to know that interest and penalties will continue to accrue until the full balance is paid.
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