Filing your taxes means reporting the income you earned during the year to the IRS, calculating what you owe (or what you’re owed back), and submitting your return by the April deadline. The process breaks down into a handful of clear steps: gathering your documents, choosing how to file, claiming deductions and credits, and either collecting your refund or paying your balance. Here’s how each step works.
Check Whether You Need to File
Not everyone is required to file a federal tax return. Whether you need to depends on your income, filing status, and age. The IRS sets minimum income thresholds each year, and if you earned less than your threshold, you may not be legally required to file.
That said, you should often file even if you don’t have to. If your employer withheld federal taxes from your paychecks, the only way to get that money back is by filing a return. The same goes for refundable tax credits like the Earned Income Tax Credit, which can put money in your pocket even if you owed zero tax. Skipping your return in these cases means leaving money on the table.
Gather Your Documents
Before you sit down to file, collect everything you’ll need. Most of your income documents arrive by mail or electronically in January and February. The core items fall into a few categories.
Personal Information
- Social Security numbers for you, your spouse (if filing jointly), and any dependents
- Bank account and routing numbers so you can receive a refund by direct deposit or pay electronically
- Last year’s adjusted gross income (AGI) and refund amount, which you’ll need to verify your identity when e-filing
- Your IP PIN if the IRS issued you one for identity protection
Income Forms
Your employer sends you a W-2 showing your wages and the taxes withheld. If you have other income sources, you’ll receive various 1099 forms: a 1099-NEC for freelance or contract work, 1099-INT for bank interest, 1099-DIV for investment dividends, 1099-R for retirement distributions, 1099-G for unemployment benefits, and 1099-K for payments through online marketplaces or payment apps. If you receive Social Security benefits, look for Form SSA-1099.
If you bought health insurance through the Marketplace, you’ll also get Form 1095-A, which you need to reconcile any premium tax credits. And if you sold cryptocurrency or other digital assets, keep records of those transactions even if you didn’t receive a formal information return.
Records for Deductions and Credits
Depending on your situation, you may want receipts and statements for mortgage interest, property taxes, charitable donations, childcare expenses, student loan interest, education costs, health savings account contributions, and retirement contributions. If you’re self-employed, also gather records of business expenses, mileage logs, and any estimated tax payments you made during the year.
Choose How to File
You have several options, ranging from free to a few hundred dollars depending on complexity.
IRS Free File
If your adjusted gross income is $89,000 or less, you can use guided tax preparation software at no cost through the IRS Free File program. These are brand-name tax programs offered for free, but you must start from the IRS Free File page on IRS.gov to qualify. If your income is above that threshold (or you just prefer a bare-bones approach), IRS Free File Fillable Forms lets anyone fill out and e-file federal forms directly, regardless of income. This option works best if you’re comfortable preparing your own return without step-by-step guidance.
Commercial Tax Software
Programs like TurboTax, H&R Block, and TaxAct walk you through your return with an interview-style format, asking questions and filling in forms for you. Basic versions for simple returns (W-2 income, standard deduction) sometimes cost nothing, while versions that handle investments, rental income, or self-employment typically charge $50 to $150 or more. State returns usually cost extra.
Hiring a Tax Professional
An enrolled agent, CPA, or other tax preparer handles everything for you. This makes sense if your situation is complex, such as owning a business, dealing with rental properties, or navigating a major life change. Expect to pay anywhere from $200 to $600 or more for individual return preparation, depending on complexity.
Free In-Person Help
The IRS offers free tax preparation through the Volunteer Income Tax Assistance (VITA) and Tax Counseling for the Elderly (TCE) programs. You may qualify if you earn $69,000 or less, have a disability, need language support, or are 60 or older. Trained volunteers prepare and e-file your return at community sites around the country.
Pick Your Filing Status
Your filing status affects your tax rates and the size of your standard deduction. The five options are Single, Married Filing Jointly, Married Filing Separately, Head of Household, and Qualifying Surviving Spouse. Most married couples pay less overall by filing jointly. Head of Household status, available to unmarried taxpayers who pay more than half the cost of maintaining a home for a qualifying dependent, comes with a larger standard deduction and more favorable tax brackets than filing as Single.
Claim Deductions and Credits
Deductions reduce the amount of income that gets taxed. Credits directly reduce the tax you owe, dollar for dollar, making them even more valuable.
Standard Deduction vs. Itemizing
The biggest decision most filers make is whether to take the standard deduction or itemize. For tax year 2026, the standard deduction is $16,100 for single filers, $32,200 for married couples filing jointly, and $24,150 for heads of household. You only benefit from itemizing if your combined deductible expenses (mortgage interest, state and local taxes up to $10,000, charitable gifts, and certain other costs) exceed your standard deduction. Roughly 9 out of 10 filers take the standard deduction because it gives them a bigger break with far less paperwork.
Common Credits Worth Checking
Several credits can significantly reduce your bill or increase your refund. The Earned Income Tax Credit benefits lower- and moderate-income workers, especially those with children. The Child Tax Credit provides a per-child credit for qualifying dependents. Education credits like the American Opportunity Credit and the Lifetime Learning Credit help offset tuition and related expenses. The Child and Dependent Care Credit covers a portion of daycare or childcare costs that allow you to work. The Saver’s Credit rewards lower-income taxpayers who contribute to a retirement account. Tax software and professional preparers will flag which credits you qualify for based on the information you enter.
File Your Return
Your federal return is due on April 15 (or the next business day if that falls on a weekend or holiday). E-filing is the fastest and most accurate way to submit your return. The IRS confirms receipt almost immediately and processes e-filed returns much faster than paper ones.
If you need more time, you can request an automatic six-month extension by filing Form 4868 before the April deadline. This gives you until October 15 to submit your return. But an extension to file is not an extension to pay. If you owe taxes, you still need to estimate and pay that amount by April 15 to avoid interest and late-payment penalties.
Get Your Refund or Pay What You Owe
If you overpaid during the year through paycheck withholding or estimated tax payments, you’ll receive a refund. Choosing direct deposit is the fastest method. Most e-filed returns with direct deposit selected result in refunds within 21 days. You can track your refund using the “Where’s My Refund?” tool on IRS.gov or the IRS2Go mobile app.
If you owe a balance, pay by the April deadline to avoid penalties. The IRS accepts payments through its online Direct Pay system, debit or credit card, electronic funds withdrawal during e-filing, or a mailed check. If you can’t pay the full amount, the IRS offers installment agreements that let you pay over time, though interest and a small setup fee apply.
Keep Records for Next Year
Once your return is filed, save a copy along with all supporting documents. The IRS generally has three years to audit a return, so keeping records for at least that long protects you. Store your prior-year AGI and refund amount somewhere accessible since you’ll need them to verify your identity when you e-file next year. If your income, family size, or employment situation changed during the year, adjust your W-4 withholding with your employer so you’re not surprised by a big bill or an unnecessarily large refund next April.