Double-check this list of commonly overlooked information to ensure your tax return is filed quickly and without error. These little pesks are among the widely missed items reported as hold-ups to filing individual tax returns:

Information on your tax return

1. Missing forms. Using last year’s tax return as a checklist, double-check that all your W-2s and 1099s have been received and applied to your tax return. The IRS mismatch program will catch missing items here, creating an unwanted correspondence audit. If you are missing a form, contact the company responsible for issuing them immediately.
2. Forms or documents with no explanation. If you receive a tax form but have no reason for the form, questions will arise. For instance, if you receive a retirement account distribution form, it may be deemed income. If it is part of a qualified rollover, no tax is due. An explanation is required to file your information correctly.
3. Missing signatures. Both you and your spouse must review and sign the e-file approval forms before the tax return can be filed. The sooner you review and approve your tax return, the sooner it can be filed.
4. Dependent information. If you added a new dependent in 2024, provide the name, Social Security number, and birth date to have them added to your tax return. If you have a dependent who shares custody with someone else, discuss the plan for who will claim this person. Your tax return cannot be filed if there is a conflict in this area.

Other considerations during tax season

1. Cost basis information. If you sold any assets (typically investments or real estate), you must know how much it costs to determine your taxable capital gain or loss. Check your investment statements to ensure that your broker includes the required information and that you believe it is accurate. Sometimes, finding this information on the Form 1099-B summary is difficult, but it might be listed later in the statement details.
2. Digital asset transactions. If you are buying or selling cryptocurrency or other digital assets, provide details to support each transaction’s cost basis and sales price.
3. Schedule K-1s. As a partnership or S corporation owner, you must receive a Form K-1 that reports your share of the profit or loss from the business activity. When you receive your K-1, pay special attention to box 17 (code V) for S corporations and box 20 (code Z) for partnerships. This is where information is included for the Qualified Business Income Deduction.

Knowing this commonly overlooked information will hopefully make your tax filing experience smoother. Contact our RRBB advisors if you have any questions or are ready to file.