Taking a little time to prepare can make a bid difference in your tax season. I recommend getting a folder where you can start collecting all related documents. I labeled mine IRS 2022.
As January rolls around, you are going to start receiving forms. Just make sure to keep them all together. You will be receiving forms like
- W2 – employment forms
- 1099 – form from banks, people who are self employed, unemployment and others.
- 1095-A – form from the Health Insurance Marketplace
- Identity protections or PIN numbers. In the event you have not received your PIN number, you can download this from your IRS online account.
- Digital assets- documentation about purchase and sale of cryptocurrencies.
In addition, you can also have ready the following:
- Bank account information – or you can have a voided check in your folder. The fastest way for you to get your tax refund is by filing electronically and choosing direct deposit. Direct deposit gives you access to your refund faster than a paper check.
- Did you purchase an electric vehicle during 2022? You may qualify for some additional credits.
- Did you have any IRA contributions?
- Are you self employed? Here are some of the deductions you can take.
- Home Office Deductions.
- Business Expenses
- Depreciation
- Business Meals – 2022 business meals are 100% deductible in 2022.
- Travel Expenses
Did you know you can access your account online and have access to all your records in a speedy way? If you don’t already have an account, you can create one visiting Here