It could pay to be a procrastinator this tax season

CLEVELAND - Like tulips, it's a story that always pops up every spring. People scrambling to file their taxes before the April 15 deadline.            

But this year, it could actually pay to be one of those procrastinators.

Early filers are now re-examining their returns after a tax season surprise.

"We didn't know that was going to happen," said Michael Simic, certified public accountant.

When President Trump signed the Bipartisian Budget Act into law early last month, previously expired tax deductions were extended.

“For a lot of people, it would have been better to wait," said Simic.

One of the most popular provisions allows homeowners to deduct mortgage insurance premiums.

However, not everyone has been able to tap into the potential savings.

"Most likely, the form 1098 they received would not have included those mortgage insurance premiums, there's a separate box on the form for that," said Chuck Federanich, certified public accountant.

Right now, banks and mortgage companies are scrambling to send out new forms.

"They are supposed to issue corrected 1098s by March 15," said Federanich.

Those who've already filed could be missing out on hundreds of dollars.

"The savings would be anywhere from maybe a couple hundred dollars up to $500," said Simic.

But not everyone will need to amend their already filed returns.

"It's phased out based on your income level," said Federanich.

Couples and individuals with an income below $100,000 are eligible for the full credit. It starts getting phased out for anything above six-figures.

“If their income is over $109,000 they lose the ability to take the mortgage premiums entirely," said Federanich.

Mortgage insurance premium deduction is not the only provision extended. So was the home energy credit for new doors, windows and insulation.

"This was the first year we were telling people no, unfortunately you did it in the wrong year," said Simic.

Tax preparers are encouraging their clients who have already filed to take advantage of these credits. New tax laws go into effect for 2018.

"This might be their last chance to benefit from a provision like this," said Federanich.

Also, be prepared to spend money to earn a little extra in your return.

"We usually charge for amending the returns, it is not our fault," said Simic.

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