It is officially tax season in Flower Mound TX as well as nationwide. For many, tax season is a whimsical time due to the large sum of money they may be receiving, but for others not so much. Either way, before you head to your preferred tax preparer for tax services, it is important to know what paperwork is needed prior to filing your return.
Personal Identity Information
If it is your first time filing with a new tax preparer, it is imperative that you bring in a copy of your license, social security card, and proof of residence to make sure the tax preparer is entering in the correct information on your return. Also, if you have any dependents, make sure you have their information on hand as well.
A W-2 is the form your employer or employers use to show how much taxes have been withheld from your income for the year. It is a requirement to have a copy of your W-2 prior to filing taxes to ensure they are filed accurately.
A 1095-A form is now required to file taxes to report healthcare information to the Internal Revenue Service, or the IRS. The 1095-A form is usually mailed from your primary healthcare provider or the Healthcare Insurance Marketplace. The form was originally created with the Affordable Care Act, or Obamacare. The 1095-A form can be filed with your return for a tax credit. The penalty for not having health insurance was abolished at the beginning of 2019.
The 1098-T form, or the Education Tax Credit, is utilized on tax returns for receiving credits on the interests paid on student loans, tuition, and tuition related expenses for the respective year.
Due to COVID-19, millions of taxpayers this year will have a fairly unfamiliar form to bring to tax preparers. The 1099-G form is used to report the amount of unemployment compensation paid out to the tax payer while they worked reduced hours or while they were out of work.
If you are self-employed, it is imperative to bring in receipts related to your business or job that are proof of purchases that are tax deductible. Receipts for gas and mileage, office rental payments, and child care are just some of the expenses that may be tax deductible.
Now that you know what type of paperwork that is needed to file an accurate tax return, finding tax services in Flower Mound TX should be a breeze.