Easy steps taxpayers can take now to make tax filing easier in 2022

Organized tax records can help ensure that the tax preparation process is a smooth one.

As the year comes to a close, there are several items that Individuals should begin to gather to ensure a smooth tax preparation process. Some Income documentation that taxpayers will want to be sure to gather includes but is not limited to:

  • Forms W-2 from employer(s)
  • 1099’s from banks, issuing agencies and other payers (i.e., Workers’ compensation; dividends; distribution from a pension, annuity or retirement plan)
  • Form(s) 1099-K, 1099-Misc or other income statement for workers in the Gig Economy
  • Records of virtual currency transactions
  • If you received a Third Economic Impact payment (paid in March/April 2021 to those eligible) the amount and date received
  • Those who received advanced payments of the Child Tax Credit and Premium Tax Credit, the date(s) and amount(s) received
  • If health insurance was obtained through the Health Insurance Marketplace, Form 1095-A

A few other items that are important to begin organizing include:

  • If you made estimated payments during the year, the amount of these payments and date paid
  • Any notices or correspondence received from the IRS if you have not already provided them to us
  • If you were issued an Identity Protection PIN (IP PIN) a copy of the letter issuing the IP PIN will be required to successfully e-file your return
  • For those who business income and expenses, our Schedule C Worksheet can help to track income and expenses
  • If you rented out any real estate property (including part of your home), our Schedule E Worksheet is available to record income and expenses
  • If you had interest in or signature or other authority over a financial account in a foreign country, such as bank account, investment funds, educational funds, pension, etc., our FBAR Worksheet is available to record FBAR assets

A few minutes spent organizing this information now can help make things easier when completing your Questionnaire and providing your information to complete your return.

Posted in