From gathering essential personal and income information to deciding on the best filing method for your needs, each step builds a smoother, more organized path forward. With a solid checklist, you’ll avoid costly mistakes, maximize savings, and breeze through tax season with fewer headaches. IRS.gov is a valuable resource for taxpayers, offering a variety of online tools like the Individual Online Account available 24/7. These tools help individuals file and pay taxes, track refunds, access account information and get answers to tax questions. Taxpayers are encouraged to bookmark these resources for easy access.
IRS Online Account
- According to Treasury’s Bureau of the Fiscal Service, paper refund checks are 16 times more likely to be lost, misdirected, stolen or uncashed compared to those paid using direct deposit.
- Review the changes under the Inflation Reduction Act of 2022 to see if you qualify for the new electric vehicles purchased in 2022 or before or the new clean vehicles purchased in 2023 or after credit.
- If there’s information or amounts that aren’t already available on other documents, such as your bank routing and account numbers for direct deposit, then you can jot them down on the printed checklist.
- If you are unable to create an Online Account, alternative methods are available, such as in-person authentication at a Taxpayer Assistance Center.
- Having this information in one place will speed up the process and help ensure you don’t lose any of your deductions or credits.
It’s important to have all year-end documents to file your income tax return. Having all the necessary information before you file minimizes the risk of making a mistake and needing to file an amended return. The IRS on Aug. 21 issued a fact sheet containing frequently asked questions about Biden-era clean energy tax credits and deductions soon to expire under the One Big Beautiful Bill Act. Most income is taxable, including unemployment compensation, refund interest and income from the gig economy and digital assets.
- The IRS provides a wealth of tools and resources online to make filing and managing your taxes easier.
- Some people prefer physical folders for different types of income, while others thrive with digital file organization.
- That’s why the IRS recommends starting tax prep by gathering your records early.
- From gathering essential personal and income information to deciding on the best filing method for your needs, each step builds a smoother, more organized path forward.
- Though everyone’s tax situation is different, here’s a list of common tax forms and records you’ll want to assemble prior to filing your tax return.
- It’s designed to address the realities of military life – including deployments, combat and training pay, housing and rentals and multi-state filings.
Tax Credits
Make your first stop IRS.gov where you’ll find online tools to help you get the information you need. Millions of people use them to help file and pay taxes, find information about their accounts, and get answers to tax questions. The 2025 tax filing season brings changes designed to make the process easier and more secure. The IRS recommends filing electronically and choosing direct deposit for the fastest refunds. If you don’t have a bank account, consider opening one at an FDIC-insured bank, credit union, or other financial institution.
For example, maybe you claimed a deduction for student loan interest or a tax credit for energy-efficient home improvements last year. Revisiting this information can jog your memory and ensure consistency. Just like previous filing years, taxpayers must report all digital asset-related income when they file their 2024 federal income tax return. A digital asset is property that is stored electronically and can be bought, sold, owned, transferred or traded.
Tax credits
But note that while an extension gives you six additional months to submit your tax return, it doesn’t extend the time to pay your taxes. If you’re not able to meet the tax filing deadline, you can elect to file an extension. You can request an extension by submitting Form 4868, “Extension to File,” to the IRS on or before the due date.
Gathering records is the first step of tax preparation
As you receive or locate tax documents, place them in the folder and check them off the list. You can also scratch off anything on the list that doesn’t apply to your tax situation. If there’s information or amounts that aren’t already available on other documents, such as your bank routing and account numbers for direct deposit, then you can jot them down on the printed checklist. Ensure you have the Social Security numbers for yourself, your spouse (if filing jointly), and any dependents.
Changes that may affect your tax refund
This is the third in a series of reminders to help taxpayers get ready for the upcoming tax filing season. Additionally, the IRS has recently updated a special page on its website with steps to take now for the 2019 tax filing season. Taxpayers should have all necessary records handy, such as W-2s, 1099s, receipts, canceled checks and other documents that support any income, deductions or credits reported on their tax return. The Get ready page on IRS.gov offers practical tips and resources to help taxpayers prepare.
The IRS’s Volunteer Income Tax Assistance (VITA) and Tax Counseling for the Elderly (TCE) programs offer free basic tax return preparation to qualified individuals. The VITA Locator Tool will help you locate an open VITA site near you. Taxpayers who received more than $5,000 in payments for goods and services through an online marketplace or payment app in 2024 should expect to receive a Form 1099-K in January 2025. Learn how to open an account at an FDIC-Insured bank or through the National Credit Union Locator Tool. If you are a Veteran, see the Veterans Benefits Banking Program (VBBP) for access to financial services at participating banks. With TurboTax Live Full Service, a local expert matched to your unique situation will do your taxes for you start to finish.
Income
When it comes to filing your taxes, there’s no one-size-fits-all approach. Some people prefer the convenience and control of doing it themselves, while others value the expertise of a professional. If you are a freelancer, operate a small business or are an investor, it may be a good idea to seek the assistance of a CPA. Forging a relationship with a CPA can help you navigate possible tax deductions, create tax strategies for the future, and face the IRS if it ever comes knocking on your door to audit your taxes.
Plan for a tax refund or to pay the IRS
Double-check with the IRS website or a tax professional if you’re unsure whether something counts as taxable income. Don’t forget to check all your income streams—interest from savings accounts (1099-INT), dividends from stocks (1099-DIV), and even payments you’ve received through platforms like PayPal or Venmo. Missing one small form can disrupt the entire process, so it’s worth get ready for taxes double-checking your records. Tax season doesn’t have to be a time of stress and last-minute scrambling.
Disorganized paperwork is one of the leading causes of errors, which can delay refunds or result in penalties. Significant income increases or decreases can shift your federal income tax bracket and keep in mind that unemployment benefits are typically taxable and must be reported. Direct File guides you to a state-supported tool you can use to prepare and file your state tax return for free. Prepare and file your taxes online – for free- with Direct File directly and securely with the IRS.
Examples include convertible virtual currencies and cryptocurrencies, stablecoins and non-fungible tokens (NFTs). An IP PIN is a six-digit number that prevents someone else from filing a federal tax return using an individual’s Social Security number or Individual Taxpayer Identification Number. It’s a vital tool for ensuring the safety of taxpayers’ personal and financial information. The fastest and most secure way to receive a tax refund is through direct deposit.
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