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Use our tax checklist for better tax preparation of your income tax return. Also find tax preparation information
on tax filing and filing extensions.
Use the following checklist for better tax preparation of your income tax return. Not every category will
apply to you. Just pick those that do apply and make sure you have that information available.
Print this article. Check things off as you collect them, and enter information such as Social Security
numbers and cash amounts.
If you maintain your financial data in a personal finance software program such as QuickenŽ, print a report
of your financial transactions for 2007. This is an invaluable tax preparation resource as we prepare your income tax
return and it helps us clearly see where your money goes each year. Having this information in a report is much easier
than going through your checks for the entire year.
As you review the report, highlight information we will need for your tax return or make notes to remind
yourself of something later. If you need more information on a certain item, the report makes it easier to find the item on
the computer when you need the detail. For example, if you know you paid check number 1077 to the IRS but don't know if it
was for last year's balance due, an estimated payment for this year, or an extension payment, you can do a search for check
number 1077 and get more detail.
Now you're ready to start gathering information. This income tax preparation checklist is divided into relevant
categories to help you organize your tax information. As you receive or locate an item, check it off of the list.
Social Security Numbers
- Yours
________________________________________________
- Your Spouse's
________________________________________________
- Dependents'
________________________________________________ ________________________________________________
________________________________________________
________________________________________________
Advance Child Tax Credit Payment
- Copy of the IRS notice announcing the amount of your payment
- Amount of the payment you received
- ________________________________________________
Childcare Costs
- Cancelled checks or invoices
- Childcare provider's name
________________________________________________
- Provider's address
________________________________________________
- Provider's tax ID or Social Security number
________________________________________________
Education Costs
- Receipts for tuition (or cancelled checks) for post-high school education
- Tuition statement - Form 1098-T
Adoption Costs
- Social Security number or ID number of adopted child
- ________________________________________________
- Receipts or cancelled checks for:
- Legal fees
- Transportation
- Other costs
Income From Jobs
- Forms W-2 for all employers for whom you and your spouse worked during the year
Investment Income
- Interest income - Form 1099-INT
- Dividend income - Form 1099-DIV
- Proceeds from the sale of stocks, bonds, etc. - Form 1099-B
- Confirmation slips or brokers' statements for all stocks, etc., that you sold in 2007
- Schedule(s) K-1 (Form 1065) from investments in partnerships
- Schedule(s) K-1 (Form 1120S) from investments in S Corporations
- Income from foreign investments: Amount of foreign taxes paid (you can find this on the brokers' statements)
________________________________________________
- Income from stock option exercises and sales:
- Stock option agreement (showing type of options you received)
- Stock option statement showing exercise prices of options
- Form 1099-B for proceeds from stock sales
- Sale of employee stock purchase plan shares:
- Form 1099-B for proceeds from stock sales
- Stock price on grant date
________________________________________________
- Stock price on purchase date
________________________________________________
- If the stock sale occurred before qualifying period began, Form W-2 showing "compensation income" from a disqualifying
disposition
Income from State and Local Income Tax Refunds
- Form 1099-G from state or local governments
- State income tax return from 2006, if any
- City income tax return from 2006, if any
Alimony Received
- Bank statements or record of deposits
Business or Farming Income
- Books/accounting records for your business, OR:
- Invoices or billings
- Bank statements
- Cancelled checks for expenses
- Payroll records
In addition you will need:
- Invoices for major purchases of machinery, equipment, furniture
- Logs or other records listing vehicle mileage
- Inventory records, if your business maintains an inventory of goods or materials
If You Use Your Home for Business
- Square footage of your home office area
________________________________________________
- Total square footage of your home
________________________________________________
- Total rent paid, if home is rented
________________________________________________
- Mortgage interest reported on Form 1098
________________________________________________
- Property tax payments from assessor's bill, cancelled checks, or impound records
________________________________________________
- Homeowner's insurance premium payments
________________________________________________
- Invoices for repairs and maintenance on your house
- Utility bills
IRA/Pension Distributions
- Form 1099-R for payments from IRAs or retirement plans
- Account summary form for the year for your IRA accounts, or
- Deposit receipts and contribution records
- If you received a distribution from an IRA account, the most-recently filed Form 8606 (if you made contributions in prior
years to IRAs that weren't deductible on your income tax return)
Rental Property Income
- Profit and loss statements from your property manager, or
- Checkbook or cancelled checks for expenses
- Form 1099-MISC or other records for rental income paid to you
- Mortgage interest reported on Form 1098
- Property tax payments from assessor's bill, cancelled checks, or impound records
- Record of suspended rental losses from prior years (usually shown on last year's income tax return)
Unemployment Income
- Form 1099-G from your state unemployment agency, or
- Unemployment check stubs and deposit records
Social Security Benefits
Income From Sales of Property
If the property was sold in 2007:
- Sales proceeds: Bill of sale, escrow statement, closing statement or other records
- Cost of the property you sold: Invoices, receipts, or cancelled checks
- Improvements made to the property: Invoices or construction contracts and cancelled checks
Miscellaneous Income
- Jury duty pay records
- Form(s) W-2G for gambling and lottery winnings
- Receipts for all gambling purchases
- Form 1099-MISC for prizes and awards you received
- Form 1099-MSA for distributions from medical savings accounts
- Scholarship records (if you used the money for anything other than tuition, books, and supplies)
- Director's fees receipts if you received money for serving on a corporate board of directors
IRA Contributions
- Year-end account summary or bank statements
Student Loan Interest
- Form 1098-E showing interest paid, or
- Loan statements
Medical Savings Account Contributions
- Account statements or
- Cancelled checks
Moving Expenses
- Invoices from moving companies or
- Cancelled checks and
- Paycheck stub for moving expense reimbursements
Self-employed Health Insurance
- Insurance premium bills, or
- Cancelled checks
Keogh, SEP, SIMPLE, and Other Self-employed Pension Plans
- Year-end account summary, or
- Cancelled checks
Alimony Paid
Educator Expenses
- Cancelled checks for expenses paid for classroom supplies, etc.
Interest You Paid
Home mortgage interest:
- Form 1098, or
- Your mortgage statement or bill for January 2008
Points:
Charitable Donations
Cash donations:
- Charity bills, receipts, or cancelled checks
- Records of the mileage incurred for charitable purposes (such as Scouts).
Donations of Property:
- Receipts from charitable agency
- Estimated value of property given
________________________________________________
- Appraisal fees for expensive donations
________________________________________________
Other charitable donations:
- Prior years' tax returns if you have unused charitable contributions (carryovers) from earlier years
- Year-end paycheck stub if donations were paid through your wages
Casualty and Theft Losses
- Description of property damaged or stolen
- Receipts or cancelled checks showing cost of property
- Insurance policy and insurance reports showing reimbursement
- Appraisal fees if applicable
________________________________________________
Job Expenses
- Reimbursement check stubs or reports from your employer
- Union dues - paycheck stub for automatic withdrawals
- Gifts to clients, etc. - receipts showing date, cost, and description
- Supplies - receipts or bills
- Property purchased for use in your work - invoices, receipts
- Uniform and special clothing costs - bills or paycheck stubs showing deductions
- Seminar fees - receipts or invoices
- Professional publications and books - receipts or invoices
- Receipts for small tools and supplies you purchased Job travel information:
- Invoices, receipts, or ticket stubs for transportation
- Mileage records per vehicle used
- Hotel bills
- Restaurant tickets showing name and address of establishment
- Parking fee receipts
- Job search expenses:
- Long-distance call bills
- Resume costs (printing, mailing, resume service, etc.)
- Transportation bills and mileage records
- Employment agency fees
- Career counseling costs
- Job-related educational expenses:
- Tuition, fee, and book receipts for education that maintains or improves your present skills
- Transportation receipts
- Lodging receipts if you take classes away from home
Other Miscellaneous Tax Deductions
- Tax return preparation fees - invoices or cancelled checks
- Cost of income tax return preparation software and books - receipts or cancelled checks
- Safe deposit box rental fees from bank invoice or statement
________________________________________________
- IRA custodial fees (if paid from a non-IRA account)
________________________________________________
- Payroll records for office workers managing your investments
- Investment advice costs: invoices or bills
Medical and Dental Expenses
- Medical bills or cancelled checks
- Form SSA-1099 for Medicare premiums paid from your social security benefits
- Year-end pay stub if premiums were paid through your wages (only if the deductions were after-tax)
- Mileage records for trips to the doctor, clinics, etc. For 2007, the standard mileage rate for medical-related driving
is 18 cents per mile.
Taxes
State and Local Income Taxes
- Last year's state income tax return
- Forms W-2
- Cancelled checks for state estimates paid
Real Estate Taxes
- Tax collector bills or cancelled checks
- Form 1098 or closing statement if you bought, sold, or refinanced property in the current year
Personal Property Taxes
- Tax bills or cancelled checks
- Automobile licensing bills, if fees are charged annually based on value
- Wages paid during 2007
________________________________________________
- Employee's Social Security number
________________________________________________
- Quarterly estimated tax payments - Records showing the date paid and amount
- If you applied a tax overpayment from 2006 to 2007 - your 2006 income tax return
- If you filed or plan on filing extensions for your 2006 tax return - Cancelled checks for payments you made with the extension
If you want your tax refund deposited directly into your bank account, you need your:
- Routing number from the lower left side of one of your checks (usually the first nine digits)
________________________________________________
- Bank account number from the bottom of the check or on a bank statement
________________________________________________
- Name of financial institution
________________________________________________
- Location of financial institution
________________________________________________
- Account number
________________________________________________
- Maximum value of account
________________________________________________
- Bill of sale for a hybrid automobile purchased in 2007
- Receipts for energy-saving improvements to your home in 2007
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