Don't Believe Everything You Hear

It never ceases to amaze me how often people come to my tax office telll me all kinds of crazy rumors and half-truths they've heard about the income tax process.  And the problem is: They believe all of it.

Well, where did they hear it all?  From the IRS?  No.  From a tax professional?  No.  It's usually from a friend or neighbor or co-worker or family member or even a stranger in a coffee shop.  Yet they take it like it's the Gospel truth.  And most of it is anything but.

Case in point: Tax season is only in it's second day and I've already had a bunch of people call the office saying that they heard they can file their tax return using their final pay stub.  They heard wrong!

You must use a W-2 Form issued from your employer to list your wages on your income tax forms.  The IRS will not process your return without it.  The only time they would ever consider using a pay stub would be if an employer failed to provide a W-2.  But that is rare and would never come until late in the tax season.

But people are in a rush to get their money and they hear what they want to hear - and they believe it.

I'm hear to tell you: Don't believe everything you hear.

It's rarely true.