The article has been automatically translated into English by Google Translate from Russian and has not been edited.
Переклад цього матеріалу українською мовою з російської було автоматично здійснено сервісом Google Translate, без подальшого редагування тексту.
Bu məqalə Google Translate servisi vasitəsi ilə avtomatik olaraq rus dilindən azərbaycan dilinə tərcümə olunmuşdur. Bundan sonra mətn redaktə edilməmişdir.

4 documents, without which it is impossible to file a tax return

During New Year's celebrations, people usually don’t think about declarations. But if you are waiting for a tax refund and want to receive this money as soon as possible, prepare in advance all the documents necessary to fill out the declaration, writes USA Today.

Фото: Depositphotos

Remember that without the 4 tax documents below, an attempt to file a return may result in errors. As a result, you will have to correct the data, which is fraught with a delay in receiving a return.

1. Form W-2

If you are employed, you will receive Form W-2 from your employer. The IRS requires him to broadcast it before January 31, although some of them do so even earlier.

Form W-2 contains a lot of information that goes directly to your tax return. You will find there your income necessary for calculating both federal and regional taxes, as well as the amounts that have already been deducted from your salary for income tax, social security medical insurance, contributions to pension plans, etc.

On the subject: How to file your tax return online and for free

Some taxpayers believe that they can predict the contents of Form W-2 based on other sources, but in such cases errors are often made in the calculations.

2. Forms 1099

There are many different types of tax information forms 1099, and they cover almost all the ways that people make money. Investment income usually comes in such forms as 1099-B, 1099-DIV for dividend income, 1099-INT for interest on deposits. Income from work as an independent contractor is usually indicated in 1099-MISC. Forms 1099 are usually sent to the taxpayer from late January to mid-February.

As with W-2, your employers or other income providers must file Form 1099 with the IRS and provide copies to you. In the event of data inconsistency, problems may arise, therefore it is better to fill out the declaration already having your form 1099 at hand.

3. Form 1098

W-2 and 1099 are income-oriented, but other forms give you important information about the deductions you may receive.

Form 1098 covers the following points:

  • Form 1098 contains information about the mortgage, including interest, taxes, and any mortgage insurance premiums that you paid.
  • Form 1098-T displays information about the money paid for tuition, and related fees that taxpayers can use to receive tax credits and deductions related to education.
  • Form 1098-E reports interest on student loans, which can also often be deducted from taxes.

On the subject: Four effective ways to set aside an extra $ 1000

Again, you can get the information contained in these forms from other sources. But since Form 1098 makes it easy to copy data directly to your tax return, the safest thing you can do is wait for it to be received. As a rule, she arrives to the taxpayer by the end of January.

4. Account statement for 2019

Taxpayers should receive reports on their accounts at the end of the year from their financial providers in order to use them to calculate taxes and deductions.

The presence of final statements on bank and investment accounts will allow you to check the amounts of income displayed in your 1099 forms. The statements from bank accounts will also indicate the amounts you paid that can be deducted from your taxes. Similarly, year-end credit card statements may also include deductible expenses.

Get ready to wait

If you are looking forward to a big refund, waiting is the hardest part. To avoid unnecessary mistakes, it’s best to be patient and wait until you have all the information you need to submit a complete and accurate declaration.

Miscellaneous taxes return Educational program Special Projects

Read also on ForumDaily:

Key changes: what you need to know about taxes in 2020

What can you buy at a discount or get free in 2020

12 profitable tax deductions and refunds you can get

Let's face the crisis together and support each other

No one in the world expected a coronavirus pandemic, but she came in disrupting the usual rhythm of life and work of billions of people, causing panic and uncertainty about tomorrow.

ForumDaily also faced financial difficulties due to the loss of some advertisers due to the economic downturn and quarantine. But we are not reducing the number of materials and the mode of operation, since we want our readers to receive timely and up-to-date information in this difficult time. In addition, we support Local small businesses in the USA that suffer the most.

But ForumDaily is also a small business. Despite the loss of part of the income, we are doing our best to ensure that you are informed and armed with all the necessary knowledge to counter the pandemic and resolve other important issues during quarantine.

To maintain this rhythm of work, we need your help. We will be grateful for any amount that you are willing to allot to support our team.

Let's face the crisis together!

Security of contributions is guaranteed by the use of the highly secure Stripe system.

Always yours, ForumDaily!

Do you want more important and interesting news about life in the USA and immigration to America? Subscribe to our page in Facebook. Choose the option "Priority in the show" - and read us first. And don't forget to subscribe to ForumDaily Woman and ForumDaily New York - there you will find a lot of interesting and positive information.

1040 requests in 1,879 seconds.