Tax Checklist: How to Get Ready for Tax Season

Taxes. Just that simple word is enough to make most of us nervous. But with the right preparation, tax season doesn’t have to be stressful. A little organization now can save you time and last-minute headaches. Luckily, we put together a list of tax preparation tips to help you stay focused. By the end of this tax checklist, you will know what documents you need to file your taxes, how to get organized, and what tax deductions you can claim. Follow these simple steps to cross “taxes” off your to-do list.

1. Understand Different Filing Statuses & Pick the Right One

Your filing status determines how much you owe—or how much you will get back! And unfortunately, your filing status can’t be “confused.”

Are you single, married, filing jointly, or head of your household? For first-time filers, this might sound like just a technicality, but it’s very important. In fact, filing with the wrong status is one of the most common tax filing mistakes that people make. For example, someone filing as "head of household" can get a higher standard deduction and lower tax rates than someone filing as "single."

PRO TIP:  Visit IRS.gov or consult a tax filing guide for definitions and choose the status that best fits your situation.

2. Know Tax Deadlines & Set Reminders

A missed deadline can lead to penalties, fees, and a lot of unnecessary stress. The IRS tax filing deadline is typically April 15th, but it can vary slightly each year.  If April 15th lands on a weekend or federal holiday, the deadline becomes the next business day. Set calendar reminders early to allow time to gather everything—you will thank yourself later!

FYI: Self-employed individuals or those who owe estimated taxes should also stay aware of quarterly deadlines.

3. Gather Your Personal Information

Before preparing anything else, make sure you have the basics covered. You will need some personal information to complete your tax return:

• Social Security Numbers for you, your spouse, and any dependents
• Bank Account Details so you can receive a tax refund through direct deposit
• Last Year’s Tax Return for reference—it’s your cheat sheet for this year!

4. Find Income Documents

What documents do I need to file my taxes? Finding the right income documents might seem like a chore, but it’s really about staying organized. Depending on your job or side hustles, here is what you will likely need:

• W-2 Forms for employees/associates
• 1099 Forms for freelancers, gig workers, or anyone who did contract work
• Rental Income Records if you own and lease property
• Other Income Sources like side jobs (yes, your Etsy shop counts), alimony, or investments

PRO TIP: If your forms are scattered between email and snail mail, print digital ones OR scan the paper ones. This helps keep things all in one place when you file your taxes.

5. Organize Deductions & Credits

What tax deductions can I claim? If you want to lower your taxable income, you need to have the right paperwork. These are common documents to keep handy:

• Childcare Expenses
• Mortgage Interest paid on your home loan, using Form 1098 (Learn how to calculate mortgage interest for taxes with our Mortgage Tax Calculator)
• Student Loan Interest Statements
• Home Office Deduction if you work from home
• Medical Expenses above 7.5% of adjusted gross income
• Charitable Contributions like donations to qualifying organizations

These deductions and credits can save you serious cash, so don’t miss out!

6. Review Investment & Retirement Contributions

If you have been investing or saving for retirement, make sure to include these accounts on your tax return.

• Capital Gains/Losses Reports, including stocks, crypto, or any other investments
• Roth IRA or 401(k) Contribution Records to determine eligibility for retirement-related tax deductions (Use the Roth IRA Calculator or 401(k) Calculator to help with retirement planning)
• Health Savings Account (HSA) Contributions for tracking your tax-free growth (Plan your HSA account with our HSA Contribution Calculator)

FYI: Investment losses might mean paying less in taxes, but you will need to provide the exact figures to claim the advantage.

7. Prepare Bank Accounts for Possible Tax Payments

One big question that first-time tax filers often wonder is, how do I know if I owe taxes? If your taxes haven’t already been withheld through your job, you might owe money. Make sure you have enough funds ready in your bank account to cover any potential tax payments. Afterall, it’s always better to be prepared than scrambling to find the cash last-minute.

8. Choose Your Tax Filing Method

Tax prep doesn’t have to be a solo adventure. Decide which filing strategy is best for you.

• Hire a CPA or Tax Preparer for personalized advice, especially if your financial situation is complex
• Use Tax Software like TurboTax, H&R Block, or TaxAct to guide you step-by-step

PRO TIP: Looking for a tax filing discount? Academy Bank has teamed up with Intuit TurboTax, offering our clients an exclusive 10% TurboTax discount on federal products!

Crush Your Taxes This Year!

Tax preparation doesn’t have to be the stuff of nightmares. By following this tax checklist and staying organized, you can avoid last-minute stress and make sure you are getting the most out of your tax return. Just start early, check off each step, and file with confidence.

Want an extra hand? Check out our recommended resources for more tax preparation tips. You are closer to crushing your taxes than you think!

TAX PREP ESSENTIALS:
Best Tax Calculators
What Are the Tax Benefits of Owning a Home?
How to File Self-Employment Taxes for a Small Business Owner
What Are Some Common Tax Filing Mistakes to Avoid?
How to Build Credit with a Tax Refund
How to Protect Your Personal Information During Tax Season