Charleston SC Tax Prep Checklist

Charleston SC Tax Prep Checklist

Tax season is fast approaching and with it come the frustrations and anxiety of preparing your taxes. Filing taxes doesn’t have to be a chore though. With the right Charleston SC tax prep assistance you can make this tax season a piece of cake.

You might not know where to begin, so we’ve put together this Charleston SC tax prep checklist to help you get started, but if you’re unsure about any of it, feel free to set up a consultation with us.

Personal Information

When filing taxes, the first place to begin might seem obvious, but collecting all your personal information will help save time on a new tax return. These are things like your living situation and any life changes that may have happened during the past year.

Plan to have this information ready:

• Social Security number or tax id number if you’re a business
• Any family information as necessary (i.e. spouse, dependents)
  • Income documents of dependents
  • Childcare information
• Changes of address
• Changes in filing status

Income Information

The next place to focus on is your income. Not all income information is provided by your employer however. You’ll need to gather other forms and information that may have come from rental properties, freelance income, third party sellers like Amazon or Etsy. Most of the time they will send you these documents, but it is still your responsibility to make sure you have all your income documents handy.

Here are the two most common income documents you’ll need:

• W-2 forms
  Comes from your employer and must be given to employees by January 31. If the date is approaching and you have not received yours yet, talk to your employer.
• 1099 forms
  This is a broad category that encompses all those sources of income that did not come from an employer. If you’re a freelancer you’ll need to collect this information. If you’ve sold things online or have earnings form your investments you’ll need these forms as well. Tax filing assistance is available through our scheduler here so don’t hesitate to reach out if you’re not sure.

Other sources of income to note:

• Rental income
• Retirement income
• Savings, Investments, and Dividends
• Gambling income
• Prizes
• Royalty income

Deduction Documents

Deductions are where most people have the hardest time and miss out on the most savings. The government actually provides lots of ways for citizens to save on their taxes each year, but they often get overlooked. Mostly it is due to ignorance. You don’t have to be looking for Charleston SC tax prep only to take advantage of our knowledge. We also do video conferencing if you’re unable to come into our offices.

There are a wide range of types of deductions you can claim and your best bet is to speak with a tax professional about all the deductions you may be missing out on.

Here are several categories to start with:

• Education expenses
• Medical bills
• Charitable donations
• State and local taxes
• Retirement contribution
• Health Insurance (through Marketplace)
• Childcare expenses

Need help filing your return?

As you can see there are a lot of documents and information to collect before you even begin your taxes each year. This is why many people hire an accountant or tax professional to help them make sense of everything.

If you live in the Charleston area and need helping filing taxes consider The Clem Collaborative with over 20 years of tax service experience. Even if you’re not looking for Charleston SC tax prep we’d be happy to help answer your questions and consult you on how to get the most out of your return.