It’s that time of year again. As spring fast draws near, so does tax season. Jan. 31 is the deadline for employers to mail last year’s W2 forms to all their employees.
With time slowly winding down, students are preparing for the often tedious and sometimes arduous task of filing their income tax forms. Do they know who to turn to or where to begin?
Joseph A. Sharpe, financial advisor for Raymond James & Associates, said he understands that many students rely financially on their income tax refunds each spring. Sharpe said that students should keep good records for costs of tuition, books and other school related expenses. Records such as receipts and documents from school and employee information from anywhere that they have worked can be very helpful to make sure the tax-filing process is smooth and stress free.
Sharpe also pointed out that many people don’t keep track of their W2 forms each year, which can slow the process by preventing people from filing early.
Keeping all of this in mind, it is no surprise that many students do not know where to begin when filing their taxes. Fortunately, there are tax services that students can turn to for advice, and many of these tax services offer student discounts or even free assistance.
JBL Rapid Tax Refunds offers college students a 10 percent discount with college ID. They also allow students to file more conveniently from their Web site, at www.JBLtax.com, for as low as $9.00 to $15.00. JBL will take care of the process and asks students to simply bring their Social Security card and all necessary documents — they will do the rest.
“The IRS does not charge students to fill out their forms, and an agent will even walk you through the process,” said Sharpe. He suggested electronic filing, which will hurry the process along and allow a more rapid delivery of any income tax returns. Sharpe also advised students to file their taxes early, as soon after receiving the W2 forms in the mail as possible.
Upon receiving their money, dreams of material possessions may fill students’ heads, and it is no secret that many students spend their refunds on items such as cars, clothes and other consumer goods.
However, Sharpe suggested students use their money on things that will have a lasting effect long after the new car smell is gone. Sharpe advised students to use returns to pay off any credit card debt. Sharpe also said that it would be a good idea to pay off any existing student loans or the interest accrued on loans. “The biggest investment anyone can make is an education,” Sharpe said.
