Why do some people file their taxes right away while others procrastinate?
According to Dr. Steven Krebaum, clinical associate professor of psychiatry at UT Southwestern Medical Center, economics sometimes takes a back seat to psychology when it comes to tax season. Expectations often affect the process.
“Based on the literature, when a person files taxes is largely based on variables such as the individual’s current cash position and expectations regarding either a payment or a refund,” he says. “Those with higher incomes tend to file later, particularly if they anticipate large tax payments, while those who expect refunds file earlier, especially if they think they will be getting large refunds.”
However, these trends are not always consistent. “Interestingly, a number of psychological issues may cause even those who expect refunds to delay filing,” Dr. Krebaum says.
Those reasons may include:
“Generally, it may be that psychology plays a larger role than economics in decisions of when to file,” Dr. Krebaum says.
Visit http://www.utsouthwestern.org/mentalhealth to learn more about UT Southwestern’s clinical services in mental health.
Media Contact: LaKisha Ladson