We all know what April, 15th is, yet many people wait until the last minute to prepare. If you are one of the scramblers at the last minute trying to get paperwork together, here is a quick list that will assist you in getting together most of the papers you need to file tax return in Newark DE.
Because you pay your taxes based on your income, it’s important to bring proof of income to the preparer’s office when filing your taxes. Bring the W-2’s received from your employer, 1900-MISC if you are self employed or an independent contractor, and any 1099’s for interest or dividends earned, along with any stock sales or income received from a business partnership. If you receive Social Security, you probably received a 1099-SSA, which you should bring too. If you had income from any other source, write it down and present it to the preparer at the same time, just to make certain you don’t forget anything.
Deductions are as important as income, when it comes to filing your taxes. Deductions will reduce the amount of tax you owe, so if you forget any possible deductions, you’ll end up paying more taxes than you truly owe and no one wants to do this. Some common deductions to bring proof of are IRA contributions, Medical and Dental expense, property taxes, mortgage interest and charity donations. If you’ve had to move due to a job relocation, those costs can be deducted, as well as daycare for your children while you work each day. Depending on your job, any “tools of the trade” can be deducted, if they are used solely for business uses.
When you plan to prepare to file your taxes, the simplest way to do this during the entire year is to put all receipts and canceled checks for deductions in a large envelope that you store in a handy place. That way, when it’s time to file tax return in Newark DE, everything is together and ready to go. You’ll just need your proof of income, when it arrives, and you’ll be ready to file. A little organization goes a long way and will save a lot of time and potentially a lot of money too.
