EHL.AI

Tax Time: 2020

January 23, 2021
EHL.AI

IR-2019-180, November 6, 2019 & Rev. Proc. 2019-44

Tax preparation documents that most people will need:

Business information

  • Bank statements (all accounts used for business: January to December 2020)
  • Check images, Check stubs, carbon copies, returned checks
  • Credit cards statements used for business: January to December 2020
  • Merchant statements from credits cards (if the annual summary is available)
  • 1099K including deliveries (Grubhub, Doordash, Uber Eats, etc…)
  • Receipts, Invoices, images
  • If you are not sure – please contact us
  • Deadline
    • 03/15/2021 (1120-S, 1065) with extension 09/15/2021
    • 04/15/2021 (1120 or Schedule C) with extension 10/15/2021

Personal information

This information tells the IRS exactly who’s filing, who is covered in your tax return, and where to deposit your tax refund.

  • Deadline 04/15/2021 with extension 10/15/2021
  • Social Security numbers and dates of birth for you, your spouse, your dependents
  • Copies of last year’s tax return for you and your spouse (helpful, but not required)
  • Bank account number and routing number, if depositing your refund directly into your account

Information about your income

  • W-2 forms for you and your spouse
  • 1099-C forms for cancellation of debt
  • 1099-G forms for unemployment income, or state or local tax refunds
  • 1099-MISC forms for you and your spouse (for any independent contractor work)
  • 1099-R, Form 8606 for payments/distributions from IRAs or retirement plans
  • 1099-S forms for income from the sale of a property
  • 1099-INT, -DIV, -B, or K-1s for investment or interest income
  • SSA-1099 for Social Security benefits received
  • Alimony received
  • Business or farming income – profit/loss statement, capital equipment information
  • Rental property income and expenses: profit/loss statement, suspended loss information
  • Prior year installment sale information – Forms 6252, principal and interest collected during the year, SSN and address for payer
  • Miscellaneous income: jury duty, gambling winnings, Medical Savings Account, scholarships, etc.

Adjustments to your income

The following items can help reduce the amount of your income that is taxed, which can increase your tax refund, or lower the amount you owe

  • Form 1098-E for student loan interest paid (or loan statements for student loans)
  • Form 1098-T for tuition paid (or receipts/canceled checks for tuition paid for post-high school)
  • For teachers: Canceled checks or receipts for expenses paid for classroom supplies, etc.
  • Records of IRA contributions made during the year
  • Receipts for any qualifying energy-efficient home improvements (solar, windows, etc.)
  • Records of Medical Savings Account (MSA) contributions
  • Self-employed health insurance payment records
  • Records of moving expenses
  • Alimony paid
  • Keogh, SEP, SIMPLE, and other self-employed pension plans

If you itemize your deductions:

  • Child care costs: provider’s name, address, tax ID, and the amount paid
  • Education costs: Form 1098-T, education expenses
  • Adoption costs: SSN of the child; records of legal, medical, and transportation costs
  • Forms 1098: Mortgage interest, private mortgage insurance (PMI), and points you paid
  • Investment interest expenses
  • Charitable donations: cash amounts, official charity receipts, canceled checks; the value of donated property; miles were driven and out-of-pocket expenses
  • Medical and dental expense records
  • Casualty and theft losses: the amount of damage, insurance reimbursements
  • Deductions and credits (continued)
  • Records/amounts of other miscellaneous tax deductions: union dues; unreimbursed employee
  • expenses (uniforms, supplies, seminars, continuing education, publications, travel, etc.)
  • Records of home business expenses, home size/office size, home expenses
  • Rental property income/expenses: profit/loss statement, rental property suspended loss information

Taxes you’ve paid

(all these and your mortgage should be more than $12,400 for single; $24,800 for married filing jointly/surviving spouse; $12,400 for married filing separately and $18,650 for the head of household)

  • State and local income taxes paid
  • Real estate taxes paid
  • Personal property taxes
  • Vehicle license fees based on the value of the vehicle

Other information

  • Estimated tax payments made during the year (self-employed, S-corp, C-corp, LLCs)
  • Prior-year refund applied to current year and/or any amount paid with an extension to file
  • Foreign bank account information: location, name of bank, account number, the peak value of the account during the year