10 Essential Documents for a Stress-Free Tax Season

Gathering your financial records is often the most time-consuming part of filing your taxes. At Shanks CPA, we’ve found that clients who organize their documents early not only feel less stressed but also tend to uncover more deductions.

Whether you’re filing for yourself or your Houston-based small business, here are the ten must-have items to bring to your appointment this year.

1. Proof of Income (W-2s & 1099s)

This is the baseline for your return. Ensure you have W-2s from all employers and any 1099 forms (1099-NEC for contractors, 1099-INT for interest, or 1099-DIV for dividends).

2. Last Year’s Tax Return

If you are a new client at Shanks CPA, providing your prior year’s return helps us identify carryover credits and ensures consistency in your filing history.

3. Mortgage Interest Statements (Form 1098)

For many homeowners in the Greater Houston Area, mortgage interest is a significant deduction. Don’t forget to include records of property taxes paid if they aren’t listed on your 1098.

4. Retirement Account Contributions

Did you contribute to a traditional IRA or a Simplified Employee Pension (SEP) plan? These contributions can significantly lower your taxable income.

5. Education Expenses

If you paid tuition for higher education, look for Form 1098-T. You may be eligible for the American Opportunity Credit or the Lifetime Learning Credit.

6. Charitable Donation Receipts

Whether it’s a cash donation to your local Houston food bank or donated goods to a non-profit, keep your receipts. For non-cash items over $500, we will need a detailed list and valuation.

7. Medical and Dental Expenses

If your out-of-pocket medical expenses exceeded a certain percentage of your income, they may be deductible. This includes prescriptions, insurance premiums, and even travel costs for medical care.

8. Business Expense Records

For our self-employed clients, we need a summary of your business income and expenses.

Pro Tip: Use a dedicated business credit card to make this tracking seamless next year!

9. Health Insurance Documentation

Ensure you have records of your health insurance coverage. If you purchased insurance through the Marketplace, you’ll need Form 1095-A.

It sounds simple, but ensure you have the correct SSNs and birthdates for yourself, your spouse, and all dependents. A typo here can delay your refund by weeks.

How to Send Us Your Documents

At Shanks CPA, we prioritize your security. Please do not email sensitive documents directly. Instead, use our Secure Client Portal to upload your files.

Ready to file? Schedule your consultation today or call us at (346) 546-9328 to get started!