What Documents will I Need to Bring to My Accountant?
That trip to the CPA need not be dreaded, a last minute flurry to collect receipts and files. Then, when you arrive, there is the moment of awful truth; of finding you brought just the wrong information. Even if you're using a fancy system, like a shoebox, knowing what to toss into it as the year passes can make your visit with your accountant a relief. Your CPA firm will need to see three types of documents before they can start filing taxes. The first and easiest kind of documentation is identification for you and for each dependent
Be sure to bring your accountant proof of the correct names and social security numbers for every person who will be listed on your tax forms. This helps your CPA firm ensure that no mistakes are made when filing taxes. It can help you avoid substantial penalties and even criminal charges by the IRS.
The next type of document that you'll need to help your accountant prepare for filing taxes is proof of income. You'll want to be sure to bring your CPA firm records of all money that you earned throughout the year. Income may include your salary from your employer, interest from your savings accounts, money that you inherited, profits from stock trades, and so on.
Many types of income will be tracked through forms that are sent to you and to the IRS, such as W-2 forms from your employer and 1099-INT forms detailing interest earnings from your bank. Other types of income, such as alimony payments and rental income, can be substantiated using spreadsheets and bank statements. Be sure not to overlook any proof of income when your accountant is filing your taxes
The final type of document that your CPA firm will need to prepare your taxes for the IRS is proof of tax-deductible expenses. Tax-deductible expenses include work-related moving costs, medical expenses, charitable contributions, daycare payments, and IRA contributions.
Your accountant will need proof of these expenses in the form of receipts, invoices, and cancelled checks. Some other kinds of tax-related expenses, such as interest on student loans and mortgages, will send you and the IRS proof of payment via tax forms.
If you have paid estimated taxes throughout the year, you should also bring documentation of those payments to your CPA firm before filing taxes.
What Do I do if I Am Missing Documents for my Taxes? If you are missing forms that you need to bring to your CPA firm for filing taxes, you can usually request copies from your bank or your employer. There may be a fee deducted for this service.
If you are not able to receive copies of income or expense forms from the issuer, remember that the IRS receives copies of all of the tax related forms that you receive, and you can request that the IRS send you their copies of the forms.
You can do this yourself, or your accountant can make the request for you. You will probably have to request an extension for filing taxes if you need to do this, however, since the IRS may not receive all of the forms in time.
Latest Accounting News
