December is almost here, and that only means one thing: this is the right time to start preparing to file your 2022 tax return. Here are three things you can do to ensure a smooth filing season next year.
1. Gather Your Tax Documents
Having accurate and orderly tax records can make a world of difference when filing your tax return.
If you haven’t done it yet, start assembling your tax records with all the documents you’ll need to support your tax return.
As you gather and review your documents, remember this simple tax rule: most income is taxable. This includes your paycheck if you are an employee, but also other income such as:
- Income from the gig economy (such as from ride-sharing apps, for example)
- Digital assets (such as cryptocurrency)
- Unemployment income
- Refund interest
2. Renew Your ITIN if It Has Expire
The term ITIN stands for “Individual Taxpayer Identification Number.” This is a 9-digit number that the Internal Revenue Service (IRS) assigns to those taxpayers who don’t qualify for a Social Security Number (SSN) but need an identification number for tax purposes.
If your ITIN has expired and you intend to file a tax return next year, then you should make sure to renew your ITIN. Taxpayers who fail to renew their ITIN before filing a tax return may face delays and may be ineligible for some tax credits.
To renew an expired ITIN, submit Form W-7, Application for IRS Individual Taxpayer Identification Number, or seek the assistance of a dependable tax professional.
3. Get Ready To File Electronically
Filing electronically is the fastest, most convenient way to file your federal taxes.
Even if you decide to file on paper, you can still save time if you choose to receive your tax refund by Direct Deposit. This way, your tax refund will be directly deposited into your financial account, saving you the hassle of having to wait for a check in the mail.
If you are still unsure about filing electronically or need guidance on how to do it, feel free to contact us. We’ll be glad to offer assistance and answer all your questions.
Delgado’s Insurance: Taxes Made Easy
At Delgado’s Insurance, we have made it our mission to help you maximize your refund while staying compliant with all relevant laws and regulations.
We have locations in Riverside, California, and Bloomington, California. Contact us today by telephone (951-361-0084, 909-421-9003), email (mail@delgadosinsurance.com), or through our social media accounts (Facebook, Twitter).
