Filing your taxes is easier when you know what you need – and who doesn’t want taxes to be easier?
Whether you’re going it alone or using the help of a World Finance tax pro, it pays to have all your important tax documents ready to go.
So what are those important tax documents? Here’s what you’ll need to have in order to file your taxes.
Personal information
The IRS needs your personal information so they can verify that you’ve filed and know where to send your tax refund. This includes:
- Your full, given name (as it appears on your Social Security Card)
- Your home address
- Your date of birth
- Your Social Security Number (SSN), Individual Tax Identification Number (ITIN), or IP Pin (Identity Protection)
- A copy of last year’s tax returns (federal and state)
- Your bank account and routing numbers (so your tax refund can be directly deposited)
Income information
To get the most accurate tax return, you’ll need documentation of any income you took in during the year. This includes:
- Your W-2 forms, which you will typically receive from your employer by the end of January
- Any 1099 forms from other income you might have received during the year
Tax deductions and credits
Want a lower tax bill? Don’t miss any relevant tax deductions and credits.
You may be eligible for a few to several deductions, which lower your total taxable income. Most deductions can be itemized using the IRS form 1040. There are a few versions – or “schedules” – of this form, which cover income adjustments, additional taxes, and additional credits. All the forms are available on the handy IRS website.
The most important part of filing deductions? Make sure you provide the right documentation to back them up. Receipts, medical bills, escrow statements – these could all come in handy when filing tax deductions.
As for tax credits, they can reduce your total tax bill dollar for dollar. Credits like the Child Tax Credit and the American Opportunity Tax Credit offer financial relief for costs related to dependents, education, and a whole menu of other common expenses.
A helping hand
Seeking out tax guidance is a smart choice. Not only can you make sure your taxes are done the right way, you can also rest easy knowing you’re getting your biggest possible refund.
Tax professionals, like our team at World Finance, stay tuned in to the IRS and tax updates all year long so you don’t have to. Whether you get a free estimate, a second look at your taxes, or you want to dive in with the help of a tax pro, we’re here to help you through tax season.