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Tax Return Preparation and filing Tips

1..If you have a federal balance due, ensure that your check is made payable to "US Treasury," not "IRS" or "Internal Revenue Service", due to the fraudulent activity with checks made payable to "IRS" in the past.

2. Make sure that you put your signatures on your tax return(s) and include all attachments in the prescribed order as specified before you send your completed packet to the proper tax authority. Not signing will delay the processing of your tax return(s).

3. Ensure that you choose the proper tax filing status for your tax return.

4.Ensure that you have accurate social security numbers for your spouse and ALL dependents (no matter how old). Incorrect social security numbers are often the single biggest causes for refund delays.

5. Include your social security number on every page of your tax return so that if a page is misplaced by the IRS, it can be re-attached.

6. If you are married, check and see if filing separate returns ("married filing separately") rather than a joint return ("married filing jointly") is more beneficial. We can help you take the decision through a computer generated comparison analysis.

7. Double and cross check all your and your tax data inputs, ESPECIALLY social security numbers.

If you are newly married and using your married name, ensure that you have sent a change of name form to the Social Security Administration. We observe countless IRS and state authority processing delays due to this often overlooked detail.

8. Tax payer is eligible to claim the additional standard deductions if he/she is blind or 65 years of age or older.

Therefore, attach all "Federal" copies of your W-2 forms to your tax return to avoid unnecessary correspondence with the IRS.

9. Ensure that your Form W-2 and all Form 1099's are in order. If they're incorrect, get them corrected as soon as possible so that the IRS's and state's records agree with the amounts shown on your tax return.

10. If you have worked for more than one employer in a particular year, check whether you may have overpaid social security taxes withheld from your wages.

10. Ensure to put your signature and date on your tax return(s) and enter your occupation. If you are filing a joint return,make sure that your spouse also signs as required.

11. Ensure to sign your check and write your social security number and the tax return year on the face of any checks made out to the Internal Revenue Service. (Example: "000-00-000 - 200_ Form 1040")

12. Check last year's tax return to see if there are any items which you can carry forward to this year,like charitable contributions or capital losses that exceeded the amount which are carried over to current year or you are able to deduct through current year income.

13.If you are single and have a dependent living with you, check and see if you qualify for the lower tax rates available to a "head of household" or surviving spouse filing status. We can help you with these choices.

14.If a household employee looks after your dependent, which is under age 13 or for your spouse or dependent who is not capable of self care, you are able to take an income tax credit of up to 30% of your expenses. To qualify for this, you must pay these expenses. If you can take the credit, you can include in your qualifying expenses your share of the federal and state employment taxes you pay, as well as the employee's wages.

15.Ensure that you complete schedule "H" for your all household employees earning more than $1,000/year.

16.Check that you have claimed all of your dependents, such as elderly parents.

If you can be claimed as a dependent on someone else's return, refrain from claiming a personal exemption on your tax return.

17.If you have contributed to a non-deductible IRA account, ensure to fill out Form 8606 for "Nondeductible IRA Contributions".

18.Ensure that you are using the appropriate tax rate for your filing status. Our tax return preparation software will do this for you automatically.

19. Don't miss deadlines/dates or any guideline issued by IRS: file your tax return by the April filing deadline, or request for an extension. File your estimated taxes on time to avoid late penalties.Read more.....know deadlines.

20 Visit our website regularly to check the tax calendar periodically. Visit page "Dates to Remember also."

21. DEVELOPE THE HABIT OF KEEPING COPIES OF ALL DOCUMENTS AND CORRESPONDENCE SENT TO THE IRS OR YOUR STATE DEPARTMENT OF REVENUE.

22. Keep copies of tax returns and all related documents for at least FOUR years. If you own a home or investment assets, keep all your documents until you dispose of the home or asset(s), and hold for three more years after the sale of the home or asset(s).

IRS is encouraging taxpayers to begin filing returns electronically over the next few years. Electronic filing can save four weeks off the receipt of your refund, and you can verify that your tax return has been received by the IRS.
So start filing your tax return electronically. It’s really beneficial for you.

23. A Few Deductions to Remember (IF YOU ITEMIZE)
• Fees paid for tax preparation services
• Fees paid to financial planners
• IRA custodial fees
• Costs relating to investments
• Subscriptions to investment publications
• Job related expenses such as travel, entertainment and other non-reimbursed business expenses
• Medical expenses
• Interest paid on mortgage or equity loans
• Real estate taxes paid
• Auto excise taxes paid
• Union dues
• Costs for uniforms
• The cost of safe-deposit boxes where you store securities or tax documents
• Charitable contributions
• Non-commuting auto usage costs for business purposes (mileage, repairs, lease fees, insurance, gas, oil, parking, tolls, etc.)
• Health costs for yourself, your spouse and your dependents when the un-reimbursed expenses exceed 7.5% of your Average Gross Income (AGI)