Tips to Get Ready for Tax Season
The IRS is opening soon, but you can start getting ready for tax season now! Here are some things you can do to prepare while waiting to file your taxes.
1. Gather your tax documents as they arrive
You should be receiving various tax documents starting in January such as your W-2, 1099-MISC, 1099-K, 1099-INT, and 1095-A, just to name a few common ones.
2. Verify 2021 advance payment amounts
In 2021, you may have received an Economic Impact Payment (also known as a stimulus check) and advance Child Tax Credit payments. You will need to report these amounts on your tax return.
You will be mailed Letter 6475, which shows your 2021 Economic Impact Payment amount, and Letter 6419, which shows your total 2021 advance Child Tax Credit payments.
3. Verify your address
Make sure your address is up to date! If your employer, bank, or other entities you expect to receive a tax document from don’t have your most current address on file, then there may be a delay in getting your documents and filing your tax return.
4. Get an Identity Protection PIN (IP PIN)
An IP PIN is a unique six-digit number that prevents someone else from filing your tax return using your Social Security number or ITIN. You can apply for an IP PIN on the IRS website starting January 2022.
5. Report name changes
If you had a legal name change in the past year, then you should notify the Social Security Administration to avoid issues when filing your tax return.
6. Renew your Individual Tax Identification Number (ITIN)
If you don’t have a Social Security Number and require an Individual Identification Number (ITIN) to file your taxes, you may need to renew your number. Taxpayers who haven't filed a tax return in the last three years (2018, 2019, and 2020) will have their ITIN expire on December 31, 2021. In addition, ITINs with middle digits 70 through 88 have expired and those with middle digits 90 through 99 have expired if they were assigned before 2013. If you need to renew, we have an ITIN Accepting Agent that can help you.
7. (Bonus Tip) Schedule a Tax Appointment
Need help filing your 2021 taxes? Our tax preparers are ready to help! Give us a call at (360) 922-0235 to schedule an appointment.
Disclaimer: This material is prepared for informational purposes only, and is not tax advice. Please speak with a tax professional or visit the additional resources below to see how this information may apply to you.
