Preparing for tax season doesn’t have to be overwhelming. With the right checklist and a little organization, you can make the process smooth and stress-free. Below, you’ll find a comprehensive guide to help you gather everything you need for your 2024 tax filing.
Why Organize Your Tax Documents Early?
The earlier you start gathering your documents, the less stressful tax season will be. Plus, you’ll reduce the likelihood of missing important deductions, credits, or facing delays in processing.
2024 Tax Preparation Checklist
Personal Information:
- Social Security numbers (SSNs) for yourself, your spouse, and any dependents.
- A copy of last year’s tax return.
Income Documentation:
Gather documents that report your income, such as:
- W-2 forms from all employers.
- 1099 forms (e.g., 1099-NEC for independent contractors, 1099-DIV for dividends, 1099-INT for interest income, etc.).
- Altruist Forms: Like all custodians, Altruist is required by the IRS to report and produce tax documents for reportable activities. 1099-Consolidated tax forms (including 1099-DIV, 1099-B, 1099-INT, 1099-OID, and 1099-MISC) will be issued from Altruist in two phases based on the complexity of your financial portfolio. The first wave will be available on January 31, with the final wave issued by February 28. Learn more here
- K-1 forms for income from partnerships, trusts, or estates (if applicable).
- Unemployment income statements (if applicable).
- Any other income-related documentation (e.g., rental income, gambling winnings, etc.).
Deduction and Credit Documentation:
Ensure you’ve collected receipts and forms to maximize your deductions and credits:
- Receipts for charitable donations (including cash and non-cash contributions).
- Mortgage interest statements (Form 1098).
- Medical and dental expenses if you plan to itemize. If you're not sure, your tax pro can help you decide what is most advantageous based on your situation.
- Property tax receipts.
- Education expenses (e.g., Form 1098-T for tuition, 1098-E for student loan interest).
- Childcare expenses (include the provider’s tax ID number).
- Records of contributions to retirement accounts (e.g., IRA contributions).
Business and Self-Employment Records:
- Income and expense reports.
- Receipts for business purchases.
- Mileage logs for business travel.
- Home office expense details (if applicable).
Other Essential Documents:
- Healthcare coverage documentation: Form 1095-A, 1095-B, or 1095-C.
- Any correspondence from the IRS or state tax agencies.
- Records of estimated tax payments made.
Bank and Investment Records:
- Statements showing interest, dividends, and other investment income.
- Records of any stock sales, including purchase and sale dates and amounts.
- Cryptocurrency transaction reports.
State and Local Tax Information:
- If you paid state or local taxes, gather those documents for your records.
- Documentation for any tax credits specific to your state.
Tips for Success
- Use a Tax Organizer: Keep a folder or digital organizer for all your tax documents. As new forms arrive, place them directly into this folder.
- Be Proactive About Missing Forms: Reach out to employers, financial institutions, or other entities if you haven’t received your W-2s, 1099s, or other forms by mid-February.
- Verify Accuracy: Review all forms and receipts for accuracy before filing.
- Don’t Forget Deadlines: File your taxes by April 15, 2024, unless you file for an extension.
By following this checklist, you’ll be well-prepared for the 2024 tax season and avoid the last-minute scramble.