FREE EFILE can be COSTLY!

If you are using the Free Efile programs online, to electronically file a tax return, and the tax return is for a student who can be claimed as a dependent on his or her parents’ tax return, BE CAREFUL!

You can mistakenly check the wrong boxes, or not check the right boxes, depending upon the software and State’s tax returns, that claim the personal exemption for the dependent, ON THE DEPENDENT’S TAX RETURN you are efiling.

1. This prevents the parents from electronically filing a tax return and claiming the dependency exemption.

2. This prevents the parents from getting an electronic deposit of their own tax refund. The return will have to be paper filed, and the parents will have to wait 6 to 10 weeks or more for the refund.

3. This delays the rebate checks that would have been direct deposited in May. Instead, you wait your turn for the late July through September paper rebate checks, providing the dependent’s return is amended before then.

Again, be very careful! An instant mistaken keystroke can cause you to wait months for your own money, not to mention the paperwork that is required to undo the mistake.