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As we are approaching the end of the year, it is time to start thinking about taxes. We love helping our clients and making the tax filing process as easy as possible. The best way to make tax season smoother is to make sure you have all of the paperwork and information we need. As a rule of thumb, the more information you can provide, the better.

Here are the top things that are absolute “musts” you should bring with you to your tax appointment.

1. Prior year’s tax return

This is generally only needed if you are a new client. If so, bring your tax returns from the previous three years.

2. Personal and Dependent identification information

Bring social security numbers, ITINs, and dates of birth, driver’s license or state issued ID. To claim dependents on your tax return, you will need their Social Security numbers as well as their full names and dates of birth.

3. Wage and Earning Statements

If you earned income from last year, you need to bring in a record of the income. This includes:

• Form W-2, W-2G, and 1099-R, from all employers and payers.

• Self-employed business income and expenses (Forms 1099-MISC and 1099K).

• Records of job-related educational expenses and unreimbursed employment related expenses.

• Interest and dividend statements.

• Social Security, State Income Tax refund and Unemployment Compensation forms

• Information on Broker and Barter Exchange Transactions.

• Records of lottery or gambling winnings and losses.

• Record of rental income and expenses.

• Healthcare reimbursements

• Jury duty records

• Hobby income and expenses

• Prizes and awards

• Alimony received

  4. Expense Records

If you want to get your deductions and credits, it’s important that you have supporting documentation that proves your expenses. This includes receipts, invoices, medical bills, charitable contributions, IRA contributions, job-hunting expenses, mileage logs, education expenses, self-employment expenses, and more. It’s always better to bring too much documentation than too little. Gather records for the following types of expenses.

• Mortgage Interest Statement – Form 1098 (including home equity loans); and records of the purchase or sale of your residence.

• Records of real estate and personal property taxes paid.

• Records of state or local taxes paid (including sales tax for large purchases such as autos, boats, building products).

• Records of medical, eye care and dental expenses and mileage.

• Receipts for cash and non-cash charitable contributions.

• Mileage records and expenses incurred conducting volunteer work for charitable organizations (Example: Driving the church youth group to an event.)

• Tuition and Education Fees paid and Student Loan Interest paid

• Records of moving expenses paid and any casualty or theft losses.

• Total amount paid for a day care provider and the daycare provider’s tax identifying number – the provider’s Social Security Number or Employer Identification Number.

• Alimony payments

• Records of any qualified energy efficient home improvements purchases

• Records of federal and state estimated taxes and foreign taxes paid.

• Job hunting expenses 

5. Health Insurance Documents

• Health Insurance Marketplace Statement (Form 1095-A).

• Health Coverage Statements from your Insurer or Employer (Form 1095-B/1095-C).

6. IRA Information

• Amount contributed for 2016

• Traditional IRA basis

• Value of IRAs as of December 31 2016

7. Business Expense Receipts

• Mileage

• Meals and Lodging expenses

• Travel expenses

• Records of educator expenses paid

• Parking and tolls amounts

• Office in home information

8. Bank Information

For those wanting direct deposit, please bring a voided check from your checking account or if using your savings account bring the account and routing numbers.

9. If Your Were Affected by a Disaster

There are deductions that are applicable if you were affected by a federally declared disaster.

• Records of property loss

• Records of building/repair costs

• Insurance reimbursement/claims to be paid

• FEMA assistance information

10. Business Use of Home Information

If you use a part of your home for your business, bring the following:

• Square footage calculation of the area used for business

• The date you began using the space for business

• Original purchase price paid for the property

• Summary of your utility expenses (gas, electric, oil, condo fees, landscaping, snowplowing, maintenance, etc)

• Major home improvements and direct office expenses (repairs, business phone, etc).

11. Real Estate Documents

There are a lot of different deductions that can be taken when it comes to real estate holdings. You should bring your accountant any documents pertaining to a recent home purchase, proof of paid mortgage or home equity loan interest, or proof of paid real estate and personal property taxes paid.

 

Filing a tax return is one of the more complicated financial tasks you have to handle each year. And because of the complex codes, room for interpretation, and different rules for various situations, it can be a stressful and challenging process. Instead of attempting to file your own tax return and getting frustrated over the process, why not let an accountant handle everything for you? Just make sure you bring in the documentation mentioned above, as well as anything else you believe may be important.