New Survey Reveals 2014 Tax Trends

Money, Taxes

According to a recent survey, 63% of consumers anticipate a tax refund this year. Avvo.com recently released the results of a survey of 275 consumers about how they prepare their personal income taxes which revealed the following:

What will consumers do with their tax refund?

  • 37% Save it
  • 29% Pay down debt
  • 21% Pay down credit card debt
  • 13% Invest it
  • 10% Plan a vacation
  • 7% Go shopping

When do consumers file their taxes?

  • 74% said Early
  • 22% said Right on schedule
  • 4% said Late

Tax attorney Samantha Fitzgerald notes, “Early filing results in an early refund. The later you file, the longer it will take the IRS to process your return. Also, taxpayers often times need their filed tax return to qualify for various programs (financial aid, bank loans, etc.) and having your return done early ensures that you can promptly file for needed programs and benefits. Filing early may also reduce your risk of identity theft.”

Furthermore, for the third year in a row, tax-related questions on Avvo.com surged greater than 140% during tax season. Tax-related questions related to filing after a divorce or from entrepreneurs and small business owners are the most common tax themes of the year.