Posted On Jan 30, 2024

The Internal Revenue Service today offered a checklist to help taxpayers as they prepare to file their 2023 tax returns during filing season.

These tips will help make tax preparation smoother in 2024.

1. Gather all necessary tax paperwork and records for accuracy to avoid missing a deduction or credit. Taxpayers should have all their important and necessary documents before preparing their return. This will help file a complete and accurate tax return. Errors and omissions slow down tax processing, including refund times.

Before beginning, taxpayers should have:

• Social Security numbers for everyone listed on the tax return.
• Bank account and routing numbers.
• Various tax forms such as W-2s, 1099s, 1098s and other income documents or records of digital asset transactions.
• Form 1095-A, Health Insurance Marketplace statement.
• Any IRS letters citing an amount received for a certain tax deduction or credit.

2. Remember to report all types of income on the tax return. This is important to avoid receiving a notice or a bill from the IRS. Don’t forget to include income from:

• Goods created and sold on online platforms.
• Investment income.
• Part-time or seasonal work.
• Self-employment or other business activities.
• Services provided through mobile apps.

3. Filing electronically with direct deposit is the fastest way to receive a refund. Avoid paper returns. Tax software helps individuals avoid mistakes by doing the math. It guides people through each section of their tax return using a question-and-answer format.

4. Consider which filing option to use; each one has its own benefits. Taxpayers should decide based on their personal situation and comfort level with tax preparation. If you are uncomfortable to personally file your taxes yourself and decide to hire a tax professional, it is important to be careful while choosing a tax professional. Most tax return preparers are professional, honest and provide excellent service to their clients. However, dishonest tax return preparers who file false income tax returns do exist. Do not fall into wrong hands. We are here to help. Contact us today for accurate, reliable and professional tax preparation services.