If you’re looking ahead to the next tax season, you may be thinking about the documentation you’ll need to be able to complete your taxes more easily. Whether you are a small business owner or an individual preparing to file taxes, it can be helpful to have all of the necessary paperwork on hand to make the process smoother. Especially if you are planning to work with a tax professional, there are three things you’ll want to have ready before you file taxes:
- Previous Year’s Tax Documents – A useful tool to have ready when you are about to file taxes is your prior-year tax documents. Not only will you be able to utilize the information you provided regarding your individual or business income, but you can also determine if any of the information has changed from one year to the next.
- Financial & Banking Statements – Having orderly financial and banking statements ready before you file taxes can also be a key step in easing the tax preparation process. Sometimes you need to look for specific transactions, add up deposits or withdrawals, or compare current and prior year numbers to ensure your tax documents are accurate. Bank statements and financial documents can also help clarify the dates of specific financial transactions made throughout the year.
- Taxes Paid & Charitable Giving Documents – If you have paid estimated taxes or made any charitable contributions throughout the year, you’ll want to have this information ready before you file taxes. These documents are critical to ensuring you owe less and have the proper deductions filed.
If you aren’t certain about how you will file taxes this year, reach out to our certified tax professionals at TaxCom, LLC. We have been helping individuals and small business owners with tax preparation and financial solutions since 2011. Contact us today!