Tax Preparation Checklist

The deadline for filing your 2021 taxes is April 15, 2022, and the IRS will start accepting 2021 returns in January.

Below is a Tax Preparation Checklist to ensure you have the necessary items to prepare your return.

Also, new Hilltop Tax clients are encouraged to request a TAX ORGANIZER to help assemble their information and make sure important deductions aren’t missed. To request a 2021 TAX YEAR ORGANIZER, please use this form or email MeganWashington@hilltoptax.com.
The checklist covers PERSONAL and BUSINESS INFORMATION and DEDUCTIONS.

If you’re not sure if you need something, please share it with us anyway!
We’ll both feel better knowing that we’ve left no stone unturned in finding the necessary documentation.

PERSONAL INFORMATION

Getting the personal identification details right on a tax return is important. Every year the IRS rejects returns that don’t have matching data. To help get this right, please secure:

  • Prior year’s tax return. (for new clients only)
  • Federal and State estimated tax payment amounts.
  • Photo identification, such as driver’s licenses or military ID cards.
  • Social Security numbers for every family member.
  • Birth date for every family member.
  • Stimulus check amount.
  • W-2 forms from any employers.
  • Bank account details. (for direct deposit only)
If applicable:
  • Form 1099-G (unemployment compensation).
  • Form 1099-NEC (non-employment compensation).
  • Form 1099-INT (interest income statements).
  • Form 1099-DIV (dividend income statements).
  • Form 1099-R (retirement income).
  • Form 1099-SA (HSA, Archer MSA, or Medicare Advantage MSA distributions).
  • Form 5498-SA (to report contributions to HSA).
  • IRS Schedule K-1, Form 1065 (for partnership income).
  • Income from rental properties.

PERSONAL DEDUCTIONS

Deductions are where you can save big when it comes to your final bill. So it’s essential to take the time to track down as many relevant expenses as possible.

Expenses to look for include:

  • Primary residence documents, including form 1098 (Mortgage Interest Statement), property tax records, and expenses related to energy-saving improvements.
  • Receipts for childcare expenses paid.
  • Charitable donation receipts.
  • Expenses related to any rental properties.
  • College credit documents, including form 1098-T (Tuition Statement) and 1099-Q (Payments from Qualified Education Programs).
  • CollegeChoice Advisor 529 Savings Plan
  • Estimated amounts of out-of-pocket medical expenses.

BUSINESS INFORMATION & DEDUCTIONS

Owning and operating a business adds even more complexity to annual taxes. Business owners need to submit additional info to get started, which include:

  • Prior year’s tax return. (for new clients only)
  • Profit and loss statement/Balance sheet. (for new clients only)
  • Form 1040-ES. (to calculate and pay estimated taxes for the current year)
  • Vehicle mileage, if you use your car for business, provide estimated mileage.
  • Home office details, if you run your business from home, provide home office details, including the size of your home office, rental payments, and utility bills.
  • Asset purchase receipts, if you purchased any capital assets during the year.
  • Renovation or improvement receipts. (if applicable)
  • Employee Identification Number (EIN). (if applicable)
  • Partnership agreements. (if applicable)
  • Change in ownership information. (if applicable)