As Kissimmee tax preparation experts we know that tax deadlines can be unnerving if you don’t have all the information and filled documents in order. 10 simple steps can assist you in successful tax preparation.
Kissimmee Tax Preparation Step 1: Transaction Review
Most of the employers usually send salary information through email. At the same time organizations generate 1099s bearing the same information. In addition to salary information, 1099s also contain additional information about employees’ yearly investments in bond sales or stock transactions.
- Keep record of 1990s to review transactions and wage information.
- Verify all the records of each transaction with your documents.
- If you have sold any bond or share during the year, be sure to collect the cost basis.
- Collect all the information about transactions to complete documents for the preparation of tax returns.
- In case of local transactions, you need only cost basis for necessary information.
- Foreign transactions require additional records like bank statements or deposit slips.
- Transaction information and bank slips are necessary for preparing local as well as federal tax returns.
Kissimmee Tax Preparation Step 2: Bank Statement Record
Keeping a record of bank statements will help the accountant in sorting income deposits. For example, if bank statements are not available at the time of tax preparation in Kissimmee, accountant may assume that every deposited amount is your earned income and you will have to pay tax on it. But if you have all the record and bank statements, you can show the accountant that which deposits are not earned.
- Bank statements also contain information from last year about tax-loss carry forwards tax.
- You can predict about the amount of tax deductions and gains for the current year.
- You can also verify actual tax deductions with your estimations based on bank statements information.
Kissimmee Tax Preparation Step 3: Employment Related Expenses Record
If your firm has provided you private transport, then you don’t have to pay tax on it. But for any employment related expense which the organization does not pay, you have to pay tax. Therefore, keeping a track of all the office related expenses will help you in estimating the deductible tax. In case of self-employment, many business items can be deductible.
Kissimmee Tax Preparation Step 4: Family Security Information
Inform your accountant about the family security details. In order to receive the credit for every member in the family, you need to tell security number of each member to the accountant. If you have a family and earn $110,000 then, $1,000 is the deductible amount for every member. To receive the credit, accountant must have all the information about family tax during tax preparation.
Kissimmee Tax Preparation Step 5: Donations Record
It is very important to keep a record of donations and funds. You must make sure that tour bank statement show the transactions for donations separately. For the preparation of tax return you need to provide valid evidence regarding transactions like charity donations. IRS does not consider receipts of donations or other notes as valid proof. So make sure that your bank statement has all the information about cash donations.
For more information about our Kissimmee accounting and tax services please contact us at 407-344-1012. Freedomtax Accounting’s staff has been providing honest accounting services and tax services for 15 years. Our Orlando accounting and tax firm has its main offices in Kissimmee, FL. Our services are provided nationwide, but mainly in the Central Florida market to areas like Orlando, South Orlando, Kissimmee, St. Cloud, Poinciana, and Hunters Creek, FL. Our tax accountants and IRS enrolled agents (irs ea) specialize in corporate accounting and bookkeeping, tax services, tax preparation, back taxes help, tax debt relief, tax resolution, tax planning, itin numbers, incorporations, and non profit 501c3 tax exempt status applications.