How to Prepare for Tax Season


How to Prepare for Tax Season

Tax season is fast approaching! If you’re hiring a Certified Public Accountant (CPA), accountant, or other tax professional to handle your taxes, you still have to do some work. It’s your responsibility to gather certain documents so that your tax pro has everything they need to file your return.

After all, they won’t be able to perform their job unless they have details about your earnings and financials. Here’s a brief overview of what you should collect as soon as possible.


It’s wise to make a copy of your ID and Social Security card for your tax preparer. This way they can ensure all of your personal information is correct. Also, make copies of the Social Security cards of everyone that will be included on your return.  You don’t want to end up with a rejected return or delayed refund because your information was entered incorrectly.

Proof of Income

If you work for an employer, you’ll receive a W2 which will show how much you earned. In the event you’re an independent contractor, you can expect 1099s from everyone you’ve worked for that paid you at least $600. If you’re involved in a trust, partnership, or S-corp, you’ll need other tax forms such as a Schedule K-1. Other forms of income you must have documents for including Social Security benefits, rental income, foreign earned income, alimony, and retirement benefits. Remember that you have to report any money you receive that is not a gift.

Proof of Expenses

Depending on your specific situation, tax-deductible expenses may lower your tax burden. This is particularly true if your tax season pro decides it makes more sense for you to itemize instead of taking the standard deduction. Therefore, you should provide them with proof of expenses such as mileage and equipment if you’re self-employed, mortgage interest, and charitable contributions. Even if you don’t itemize, any deductible expenses you have that are greater than the standard deduction may either increase your refund or reduce your tax liability.

Consult Your Financial and Tax Season Professional

For more tips on how to prepare for tax season, don’t hesitate to contact your financial professional. They can answer any questions you may have and direct you to a reputable tax preparer if you don’t already have one.


Disclosure: This information is provided as general information and is not intended to be specific financial or tax guidance.  The sources used to prepare this material are believed to be true, accurate and reliable, but are not guaranteed.  This newsletter is not endorsed or approved by any Government Agency.

In conclusion, at Financial Security Management Agency, Inc. we believe that you shouldn’t have to do it alone. If you need help with retirement planning or creating tax-advantaged retirement strategies, we can help you. In addition, contact us today to schedule a free consultation. Remember don’t do it alone!