Tax Return Documentation Checklist
The beginning of the year is an exciting time for many businesses. It represents the opportunity to implement new strategies, attack new sales, production, and other goals, and improve performance from the prior year. It provides the same opportunity for individuals who have been working hard and looking to tackle new professional challenges. For management and employees alike, the holiday break offers needed time away to refresh and recharge for the opportunities and challenges that lie ahead. While the excitement is a good thing, it’s important not to forget about 2019 completely, specifically your 2019 tax return. Before meeting with your tax accountant, it’s essential to review a list of required items necessary to complete the filing. While each taxpayer is different, both individual and business, there are standard items required for each to prepare the returns. To help clients, prospects, and others, Klatzkin has provided a summary of the documentation requirements our firm has for taxpayers below.
2019 Business Tax Checklist
- 2019 year-end and January 2020 bank statements
- Accounts receivable aging report
- Accounts payable aging report
- Inventory count (when needed)
- Quarterly sales tax filings
- Quarterly payroll tax filings
- Breakdown by state of sales and services to customers
- Loan statements that show the principal balance at 2019 year-end
- Voided business check to permit the set-up of direct deposit or withdrawals for payments, and:
- A list of questions that you would like to address during the meeting
Additional Requirements – Business Taxpayers
If a business taxpayer is a new client, copies of other information, including relevant tax and financial history, are needed, including:
- Business operating agreements and related formation paperwork, even if the business was incorporated outside of New Jersey or Pennsylvania.
- Prior year financial statement, including the balance sheet and income statement.
- Asset purchases and depreciation schedules
- Valid New Jersey, Pennsylvania, or other state driver’s licenses
- 2018 or most recently filed tax return (both business and individual returns for business owners)
2019 Individual Tax Checklist
- All relevant 2019 W-2’s
- 1099’s including interest, dividends, brokerage accounts, Social Security, and Pension/IRA distributions, rental income, and self-employment income
- 2019 K-1 statements
- Real estate purchase or sales documentation
- Documentation for charitable contributions, medical expenses mortgage interest and property taxes
- List of federal, state and local estimated tax payments made in 2019
- Payments to dependent childcare providers (when relevant)
- A list of any significant changes in your situation from the prior year (e.g., the birth of a child, marriage, divorce, etc.)
- Voided check to permit the set-up of direct deposit or withdrawals for payment
- A list of questions that you would like to address during the meeting
Additional Requirements – Individual Taxpayers
If an individual taxpayer is a new client, copies of additional information are required, including;
- 2018 or most recently filed federal 1040 and state income
- Valid New Jersey, Pennsylvania, or other state driver’s licenses
Contact Us
Coming prepared with the necessary documentation will reduce the possibility of delays in return preparation and allow for more time to discuss issues, challenges, or concerns currently presenting themselves. If you have questions about the checklist items outlined above or are looking for assistance with tax planning or preparation, Klatzkin can help. For additional information, call us at 609-890-9189 or click here to contact us. We look forward to speaking with you soon.