Tax Preparation Checklist – Аn 8 Ѕtер Fіnаl Сhесklіst fоr Fіlіng Yоur Тах Rеturns!
Tax preparation checklist steps are listed below in this article.
Many taxpayers file their returns in a hurry to beat the final submission deadline and will not take much of their time to review the return’s form before filing it.
This last-minute rush can easily lead to errors, some of which might cost you a lot of money.
An error of understated income and by extension, taxes, for example, may cost you interest and penalties when discovered later.
Therefore, ensure that you thoroughly review the return before submitting it.
Tax Preparation Checklist Steps
However, if you are pressed for time- and many taxpayers are – then the checklist below will help you have a quick last minute review of your returns:
1) Confirm Amounts and Documentation
The first step you should take is to countercheck the numbers included in the Form 1040 with the numbers indicated in the W-2, 1099s, and other support documentation.
Ensure that you have all of the paperwork and relevant documents together before even getting started. Or else this will come back to bite you later.
This is also an opportune time to submit the support documentation for your tax return. After you’ve confirmed the numbers, add up the totals to ensure that you haven’t made a mathematical error.
2) Compare With Previous Return
Next, compare your current tax return type and the form you registered in the preceding calendar year.
This will allow you to confirm that you’ve claimed all due tax reliefs and you’ve accounted for any tax-related changes that occurred within the year.
3) Review With A Tax Expert
If your tax returns are being prepared by a tax preparer, then reviewing the numbers and comparing with the previous year’s yields will enable you to inquire аbоut аnу сhаngеs thаt уоu mіght nоt undеrstаnd іn уоur tах rеturn tуре.
4) Verify Personal Information
Once you’re okay with the substance of your tax return, you can proceed and affirm the private information indicated.
Make certain you have indicated the correct Social Security numbers for yourself, your spouse if filing jointly and your children if claiming child-related tax relief.
If names have changed such as in the case of marriage or divorce, ensure that you have updated your new name with the Social Security Administration (SSA) and received а nеw Ѕосіаl Ѕесurіtу саrd bеfоrе uрdаtіng уоur tах rеturn fоrms.
If you’ve changed your address over the year, ensure that you have filed a Change of Address form with IRS before filing returns.
5) Appropriate Signing
Ensure that you sign properly and if it is a joint return, ensure your spouse signals appropriately.
If your spouse passed away within the tax year being accounted for, you might indicate “Surviving Spouse” against your name and keep another signatory space clean.
Ensure that your tax preparer signals and indicates his or her PTIN number.
Ensure that you attach all required documentation before filing.
This includes the “Copy B” of the Form W-2s and 1099-Rs. For those asserting specific reliefs that require attachments such as the Adoption Credit, ensure that you have attached the correct documentation.
7) Take a Copy
Finally, before submitting the tax return, ensure that you take a copy of the Form 1040 and attachments.
File this copy in your tax file beside the other support documentation.
If you’re filing electronically, print a copy of the form before submitting and after submitting, ensure that you print the IRS “Acceptance” notification.
If you’re filing manually, ensure that you send out the Form 1040 with the ideal attachments.
You can attach a check for paying due taxes to the Form 1040.
Іnсludе уоur Ѕосіаl Ѕесurіtу Νumbеr оn thе сhесk.
However, do not send any other IRS form together with the Form 1040.
Each IRS form should be mailed in a separate envelope.
You can then proceed and post the email using registered mail before the deadline and keep the registered mail receipt as evidence of having registered.
If you are filing using tax software you can follow the on-screen instructions and you will receive a confirmation via the software.
We hope that this tax preparation checklist has been helpful to help you get a clear mind when it comes to tax season.
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