Tax season comes around every year. And every year, we must work on filing our taxes for our government. However, tax season can be intense, and there can be a lot to remember and think about. So, whether you’re new to the world of taxes, need some current updates, or simply want a reminder of the different steps, here are some things to keep in mind:
Hire a professional
As you start looking into how to file your taxes, you may be unbelievably overwhelmed. This is especially true if your type of work has recently changed and you’ve begun to have to take your taxes out, etc. If you’re nervous about getting it right and want to be confident in your filing, then it’s not a bad idea to work with a professional tax accountant. They can offer support and advice and file your taxes for you. Yes, you’ll be charged a fee, but they could save you thousands in tax payments, so it’s something to consider.
Use Top Software
If you’d rather do your taxes but would like a straightforward option for filing them, in this day and age, there are various options for professional tax software. These online sites make it easy for you to understand how to go about filing, as they lead you step by step to your final destination: sending along your e-filed tax return to the IRS. While you’ll be charged a fee, much like with a tax accountant, the ease of filing online can make the cost a no-brainer.
Collect all of your 1099s and tax forms
If you’re self-employed, it can be super important to take care of the work that you do so that you can be sure to get 1099s and report your income as you go. If you’re someone who does a lot of things for work, you may have multiple forms that you need to fill out to correctly file your taxes. This is something you’d want to discuss with your contract employers.
Maybe you just work with a w-9? This can simplify the process for you. When sitting down to file your taxes, make sure you stay educated on what forms you have and the ones that you may need to remind contractors that you need.
Stay organized throughout the year
Tax season isn’t the only time that you should be thinking about your taxes. You should have it in mind throughout the year, especially because you need to make sure you’re paying estimated tax payments as a self-employed individual.
Staying organized can help make it easy to stay on top of these payments, as well as keep all the appropriate paperwork needed for filing during the tax season. Because a lot of transactions and things are done online in this day and age, if a lot of your tax paperwork is literally paper, consider scanning these documents and uploading them to a document saver site that allows you to keep your virtual documents in safekeeping. This will make it easier for you to have everything ready for tax season.
Research the latest tax updates
Requirements, fees, deductions, and extension dates may change every year due to taxes. So, when sitting down to do your taxes, make sure you’ve done enough research to get ready for the latest tax updates for the year. If you’re self-employed or a business owner, you must be continuously checking in with the latest IRS updates so that you’re not caught unaware when it comes to tax season.
In Conclusion
While we may not love doing our taxes, it is a part of making an income in this day and age, so take time to do your research on the best ways to file your taxes so that you can confidently and carefully take care of yours in 2024.
