How to Not Dread Tax Day

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How to Not Dread Tax Day

Help us ensure your taxes get filed on time! As a taxpayer, you are likely aware that April 15th is National Tax Day. This is the day individual income tax returns are due to the federal government and to the state of Colorado. For our firm to file your return on time, we need your tax information and documents as soon as possible, and no later than FRIDAY, MARCH 8th.

What documents do we need?

1. Income received: You might receive a W-2 from your employer or a 1099-NEC for contract work. Watch for a 1099-INT from your bank showing interest received. If you sold a house, we need a 1099-S and real estate closing statements.

2. Retirement income: You may receive a 1099-R or SSA-1099 showing distribution of retirement benefits.

3. Education expenses: Common forms include 1098-T (tuition statement), 1099-E (student loan interest), and 1099-Q (529 plan distributions).

4. Rental property: If you own a rental property, please provide income and expense information, 1099s, and fixed asset/depreciation schedules.

5. Schedule C: If you have a business filed as a Schedule C on your individual return, we need a profit and loss statement, 1099s, mileage information, and fixed asset/depreciation schedules.

6. Partnership or Shareholder: We need a Schedule K-1 if you own a partnershipinterest. if you are a shareholder in an S Corporationor if you received distributions from a trust or an estate.

7. Farming: If you have a farm filed as a Schedule F, please provide income and expense information, 1099s, and fixed asset/depreciation schedules.

8. Deductions: You may have deductible expenses allowing you to itemize deductions. Common deductions include taxes for vehicle registration, real estate, and personal property; mortgage interest (Form 1098), charitable donations, and medical expenses.

9. Health Coverage or Health Savings Account (HSA): For health coverage or a health savings account, you may have received forms 1095, 1099-SA, or 5498-SA.

10. We will ask you about:

a. General/dependent/contact information

b. Driver’s license

c. Bank account for direct deposit of your potential refund

d. Foreign accounts

e. Digital currency

f. Estimated payments

For more detailed information on what to send us to prepare for tax day, please visit our Guide to Tax Documents Needed and watch the video below.

Author: Shauni Hawkins