The IRS continues to make filing easier and more accessible for everyone. They’ve added new digital tools and are accepting even more forms online. But even with the online conveniences, you still need to prepare to file your federal tax returns. That’s why we created a handy tax preparation checklist for you. From reviewing your withholding and setting up your IRS account, as well as gathering important documents, below is a list of essential steps you should take to get ready for this tax season.
1. Create or Access Your IRS Online Account
If you don’t already have an ID.me account set up, you’ll need to create one. Just be sure to have your photo identification ready so your identity can be verified. Through your IRS online account, you can view essential information from your most recent tax return, as well as get account transcripts that include your wage and income records, which may assist you in filing this year’s return. You can also:
- Request an Identity Protection PIN
- Sign a power of attorney (POA) form or other tax information authorizations
- Receive and view more than 200 IRS notices/letters
- Set up or change a payment plan
- View, make, or cancel tax payments
For step-by-step instructions for setting up your IRS account, visit the “Signing in to the IRS using ID.me” page. You can also visit the ID.me Help Center for common issues and troubleshooting tips.
2. Gather & Organize Your Tax Documents
Next, it’s important to gather all necessary documentation. Having well-organized tax records can make filing an accurate tax return much easier. It will also help you avoid mistakes that could lead to a refund delay or a tax audit. Be sure to have all your income documents on hand. This includes Forms W-2, as well as income from self-employment or gig work. You’ll also need any interest and investment income statements, such as Form 1099-INT or 1099-DIV. Don’t forget to include gambling or lottery winnings (Form W-2G), scholarships, prizes, and other taxable income.
In addition to income, you’ll need to gather forms and documents for the following categories:
- State & local taxes or sales tax
- Homeowner/renter information
- Medical expenses
- Health insurance
- Education expenses
- Childcare expenses
- Retirement expenses
- Charitable donations
- Federally declared disasters
- Tax preparation fees
To ensure you don’t miss any important forms or paperwork this filing season, be sure to download our handy Individual Tax Preparation Checklist. It’s an easy way to stay organized and on track.
3. Check Your Paycheck Withholding
Although it’s too late to make any changes to your 2024 federal tax return, now is a good time to review your Form W-4, Employee’s Withholding Allowance Certificate for the upcoming tax year. Use the IRS Tax Withholding Estimator to make sure the correct amount is being withheld from your paycheck, especially if you find that you owe a lot more this year than you anticipated.
4. Select Direct Deposit For a Faster Tax Refund
If you’re expecting a tax refund this year, the quickest and most secure way to receive it is through direct deposit. You can elect to have your refund sent to your bank account, banking app, or even a reloadable debit card. Just provide the account and routing numbers when submitting your tax return. If you’re not sure where to locate this information, reach out to your financial institution or the app provider.
Need Help? Work With a Tax Professional
Not sure you can handle filing your taxes on your own? A tax professional, such as a certified public accountant (CPA) or an enrolled agent, can help you accurately file your tax returns. It’s important, however, to choose a tax professional who is skilled and trustworthy. At Tax Defense Network, we’ve helped thousands of taxpayers file their state and federal tax returns. To learn more about our tax preparation services and fees, call 855-476-6920 for a free consultation today!