Should Seniors File a Tax Return, Even If It Isn’t Required?

Should Seniors File a Tax Return, Even If It Isn’t Required?

Filing a tax return can be an irritating and time-consuming task. Given that, why should anyone (especially seniors) file a return when they are not legally required to do so? There may be several good reasons. No one who does not have taxable income is legally required to file a tax return. From the tax collector’s point of view, the purpose of tax filing is to collect revenue. However, like Social Security numbers, the tax return has turned into a valuable credential in some circumstances. Qualifying for some senior-centered programs like Section 8 Housing or Senior Exemptions on real estate taxes may require producing this document. Applying for a bank loan, refinancing an existing mortgage or taking out a new one, and numerous other financial transactions may require a tax return. In the past year, the economic stimulus payments associated with the Covid-19 pandemic have been processed through the Internal Revenue Service. The IRS uses the most current data available to it,...
Read More