Question 1

What do I need to bring when I am having my taxes prepared?

Accepted Answer

Following is a list of some more common items you should bring if you have them. 
 • Wage statements (Form W-2) 
 • Pension, or retirement income (Forms 1099-R)
 • Self-Employment Income (may show on forms 1099-K, 1099-MISC, or 1099-NEC) 
 • Income and expenses from rentals 
 • Investment Income (forms 1099-INT, 1099-DIV, 1099-B)
 • State Unemployment or Refund (1099-G) 
 • Educational expenses (1098-T) 
 • Healthcare Marketplace (1095-A) 
 • Last year's tax return information 
 • Dependents' Social Security card and Birth Certificate 
 • Child care expenses and provider information 
 • Lottery and/or gambling winnings and losses
 •  Record of purchase or sale of real estate 
 • Cancelation of Debt 1099-C 
 • Any other items that you think may be necessary for your taxes.

Question 2

How does getting married affect my taxes?

Accepted Answer

When you get married you will have the option of filing a joint tax return. In this case the one return will report the income and deductions of both spouses. The IRS has eliminated most cases where you would have saved taxes by remaining single. You also have the option to file as married filing separately, but in most cases this will increase your taxes.

Question 3

Do I have to file a joint return with my spouse?

Accepted Answer

No, you can file either as married filing joint or married filing separate. If you file separately your taxes will most likely be higher. Many credits—such as earned income, education (Hope and lifetime learning), and child care—are not allowed when you file separately. There are special circumstances where people who are married but either do not want to or cannot file with their spouse can file as Head of Household, which therefore entitles them to these credits and a lower tax bracket.

Question 4

What is the child tax credit?

Accepted Answer

The child tax credit is a credit of $2200 per child from the IRS. In order to qualify the child must: 
 • Be under 17 at the end of the tax year.
 • Be a citizen of the United States.
 • Be your child.
 • Live with you for more than half the year and not be treated as the qualifying child of someone else.

Question 5

Is my social security taxable?

Accepted Answer

Usually if your income including social security benefits is less than $25,000 (single) or $32,000 (married), your benefits are not taxable. If your income is higher than those limits, there are formulas to determine what percentage of your social security is taxable. Currently up to 85% of your social security may be taxable.

Question 6

How long do I keep my records and tax returns?

Accepted Answer

The IRS recommends you should keep your records and tax returns for at least 3 years from the date the return was filed or the date the return was required to be filed, whichever is later. We recommend that you retain your records longer if there are items being depreciated or to keep a record of the cost basis of investments.

Question 7

What do I need to keep for my charitable contributions?

Accepted Answer

If you make a cash donation, you must have a bank record or written communication from the charity showing the name of the charity and the amount of the donation. A bank record can be the cancelled check or a statement from a bank or credit union—so long as it lists the charity’s name, the date, and the amount of the contribution. For non-monetary contributions worth $500 or more, you must file Form 8283 (Noncash Charitable Contributions) and attach it to your Form 1040. All contributions must be made to qualified charitable organizations. For valuation of used items, see the IRS Website.
https://www.irs.gov/charities-non-profits/contributors/non-cash-donations (If you make a cash donation, you must have a bank record or written communication from the charity showing the name of the charity and the amount of the donation. A bank record can be the cancelled check or a statement from a bank or credit union—so long as it lists the charity’s name, the date, and the amount of the contribution. For non-monetary contributions worth $500 or more, you must file Form 8283 (Noncash Charitable Contributions) and attach it to your Form 1040. All contributions must be made to qualified charitable organizations. For valuation of used items, see the IRS Website. https://www.irs.gov/charities-non-profits/contributors/non-cash-donations)

Question 8

What do I do if I receive a notice from the IRS about my taxes?

Accepted Answer

Don’t panic! Bring the notice into our office or send it electronically (front and back). Please provide the letter within 30 days of receipt.

Question 9

What are the consequences of early withdrawals from my retirement plans?

Accepted Answer

If you withdraw money from a 401(k) or an IRA before age 59 ½, the distribution is taxable and there is a 10% penalty on the taxable amount unless you meet an exception listed by the IRS. For the most up-to-date information, please see the IRS website.

https://www.irs.gov/retirement-plans/plan-participant-employee/retirement-topics-exceptions-to-tax-on-early-distributions (https://www.irs.gov/retirement-plans/plan-participant-employee/retirement-topics-exceptions-to-tax-on-early-distributions)

Question 10

I received tax statements from my employer or bank after I filed my tax return. What should I do?

Accepted Answer

If we filed your return, bring the new tax documents to our office. We will determine if it is necessary for you to file an amended return.

Question 11

What is an amended return, and when should I file one?

Accepted Answer

An amended return is simply a return filed with the IRS and/or state because of an error or an omission on your original return. You should file an amended return if there is a material difference between the original return and your new changes.
As of now, an amended return older than 2023 cannot be electronically filed, and any expected refunds will take longer to receive than the original return (7-9 months, according to the IRS). Generally to claim a refund, your amended return must be filed within 3 years from the date of your original return or within 2 years from the date you paid the tax, whichever is later.

Question 12

I owe the IRS money. What are my options?

Accepted Answer

If you cannot afford to pay when taxes are due, you have several options. Ignoring the IRS should not be one of them! The first option is to enter into an installment agreement with the IRS. To do this you need to fill out Form 9465, Installment Agreement Request. This form is fairly easy to complete, and can be filed with your tax return or after the fact. The IRS has also issued a consumer alert, advising taxpayers to beware of promoters’ claims that tax debts can be settled for “pennies on the dollar” through the Offer in Compromise Program.

Question 13

Can I deduct expenses for a business run out of my home?

Accepted Answer

If you use a portion of your home for business purposes, you may be able to take a home office deduction whether you are self-employed or a statuatory employee. Expenses you may be able to deduct for business use of your home may include:
 • The business portion of real estate taxes
 • Mortgage interest
 • Rent
 • Utilities
 • Insurance
 • Depreciation
 • Painting
 • Repairs

You can claim this deduction only if you use a part of your home regularly and exclusively:
1. As your principal place of business for any trade or business. 
2. As a place to meet or deal with your patients, clients or customers in the normal course of your trade or business.

Generally, the amount you can deduct depends on the percentage of your home that you used for business. Your deduction will be limited if your gross income from your business is less than your total business expenses.

Question 14

How should I keep records for my business driving?

Accepted Answer

Keep a log in your vehicle and record the purpose and mileage of each trip. We have logs available for free in our office. You also need to record the odometer readings at the beginning and end of each year, as the IRS will ask you for total miles driven during the year. Keep your repair bills as these normally record odometer readings when the car is serviced.