As the new year is upon us it is time to start thinking about taxes. It is time to organize and gather documents as they come in the mail. Gathering information for your tax preparer may seem overwhelming, but staying organized throughout the year will help you keep track of what to expect at year end.
Here is a list of items to watch for in the mail:
- Form W-2 (from all employers), W-2G, 1099-R (from all retirement plans), 1099 SSA, 1099-Misc – mailed by January 31st.
- Interest and dividend statements from financial institutions (Forms 1099). Which are also mailed by January 31st. Sometimes brokerage statements take longer to arrive but call your financial advisor if you are uncertain.
- Forms 1095-A, B and C, Health Coverage Statements – mailed by January 31st.
- Total paid to daycare provider for the year and the daycare provider’s tax identifying number, such as their Social Security number or business Employer Identification Number
- Form 1098 –T for education expenses and an educational transcript with detail of when amounts were paid
- If you have moved, make sure to provide your new mailing address, a closing statement for your new home, and if you sold your previous home make sure to provide the closing statement from the sale as well.
Here are some additional items needed when dropping off your taxes:
- Proof of identification (photo ID)
- Birth dates and social security numbers for any new dependents being added to your tax forms, for example spouse and new bundles of joy.
- Proof of bank account routing and account numbers for direct deposit if receiving a refund; such as a blank check
A few extra tips to keep in mind as we are rapidly approaching the season of taxes…
Remember to look through the organizer we will provide in January. Compare the forms that were needed last year to complete your return and the new ones you have collected in the mail or from other sources. All of these tips will give you an idea if you have all of your information needed or if there is something in addition that hasn’t been received as of yet.
These are just some of the items to keep in mind when organizing your taxes. Providing all of the information needed to prepare your return will help us prepare the return and most likely will get the return done faster and then your refund back to you earlier. Everyone at T. L. Baker and Co are eagerly waiting to serve you this tax season.