TikTok experts help you get in shape for tax season

As the IRS extends this year’s federal filing deadline to May 17, some of TikTok’s financial experts share their must-know tips and tricks.
3:53 | 03/19/21

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Transcript for TikTok experts help you get in shape for tax season
on the clock This morning we're helping you get in tiptop shape for tax season. The irs just announced that this year's federal deadline to file is now may 17th. But be sure to check your own state's deadline to break it all down. We've got some of tiktok's financial gurus to share helpful hints joining us live in a moment but first take a look. From breaking down the basics. You do know you taxes, right? Reporter: To simplifying the tax jargon. You'll want to make a safe harbor election. Taxtok has 58 million views. Stars like duke Alexander Moore, a certified tax coach has big tips for his 2.2 million followers. From the stimulus package. You don't need an LLC to apply for the ppp. Reporter: To student loan. This means if congress forgives your loan, you will not have to pay taxes on that amount. Reporter: And Humphrey yang known as Humphrey talks gives great advice to his 1.6 million followers. The U.S. Tax system is completely confusing. Anyway let me show you an example of how it works. Reporter: Offering his take on taxes. How much tax do you have to pay on a bonus? Bonuses are taxed on a flat rate method or aggregate method. Joining us is Humphrey yang who has nearly 2 million followers, his motto is if you can't explain it simply, you don't understand it well enough. And duke Alexander Moore who tells his 2 million plus followers you don't need an LLC to start your business. All you need is passion. Gentlemen, thank you for joining us this morning. Humphrey, I want to start with you. A common question whether to file individual or with your partner. What do you say to that? Thanks, Michael. Yeah, so the majority of couples are better off filing jointly. You get more tax credits and more tax breaks from the government as well as a higher standard deduction of around $24,800 and save time because you're killing two birds with one stone by filing one return so -- There you go. Duke, over the past year we've seen people that picked up side hustles to make ends meet. What benefits can they and others who are self-employed get this year? Yeah, so if you were self-employed on or before February 15th, 020, I strongly recommend that you apply for the ppp. Now, this program is set to expire March 31st, 2021. The ppp is like a bigger stimulus check but this time it's for the self-employed and small business owners, some exams include Uber driver, barber, etsy shop owners, the list goes on and on. Generally you're required to file a schedule C with your personal tax attorney. This is where you report all your related income and expenses. That expires March 31st. Time is of the essence. Humphrey, a lot are banking on tax returns this year. What is the smartest strategy for using it? You know, in my opinion it would be to pay off existing debt so if you have any high interest credit card debt, anything over 10%, I'd look into paying that off. If not you can save for an emergency fund or even invest your money. That's what I would say. Duke, the new tax deadline just under two months away. Is it better to file early or does it not matter? Okay, yeah, so even though the federal deadline has been extended, I still recommend filing early and here's why. One, if you end up owing taxes it gives you more time to come up with a plan. Two, if you are due a refund, you might receive this sooner. And, three, it helps avoid tax-related identity scams which generally happen very early on during the tax season. Gentlemen, Humphrey and duke, we appreciate your advice. I'm sure you'll help a lot of viewers out there, thank you, guy, have a great morning and

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