Filling out and filing taxes can oftentimes be a stress-inducing task, and there are many different issues that arise throughout the process. This is a guide for the top 3 most common tax issues:
What receipts do I save throughout the year?
You could potentially be losing on some tax deductions by not saving receipts. Some of the receipts that you should save include medical expenses, self-employment expenses, childcare, and sometimes there are other purchases which you may be able to deduct when it comes time to file your taxes. In addition, if there were any work related expenses which you were not reimbursed for, these receipts should be saved as well. If you do not save these receipts, you may be missing out on a valuable deduction and savings on your taxes for the year.
What forms do I need in order to fill out my taxes?
We all know that filing taxes can involve collecting a multitude of different forms and you need to have all of these handy in order to complete your taxes fully. The question is, what forms do you need? Oftentimes, this is different based on each individual. Some of the common ones include 1099’s, W-2’s and 1098-T’s. However, there are many situations where you will need additional forms in order to complete your taxes. For example, if you received health insurance through the marketplace, you will need a 1095-A in order to complete your taxes. Getting a free tax consultation will take the guess work out of knowing what forms you need compile.
What forms do I file?
When it is actually time to file your taxes, you will notice a few options on what forms to file, in addition to a multitude of schedules you may need to attach to your tax return. The 1040EZ is the simplest form and is available to fill out if you have no dependents, are younger than 65, earned less than $100,000 and don’t plan to itemize your deductions. However, by choosing this form and not to itemize your deductions, you could be losing out on some hefty tax deductions. You may also choose to complete the 1040A or 1040. If you want to make the most of your deductions, you should consider seeking out a free tax consultation at Nationwide Tax Solutions.
There are many other tax issues but these three are the most common. If you want to make sure you are taking every step to ensure you are taking advantage of all tax-saving available, be sure to contact Nationwide Tax Solutions, and receive a free tax.