With a little preparation and the right partner, you can approach tax season with confidence — and maybe even find opportunities you didn't know existed. Here's what you need to know to stay ahead.
Gathering Your Documentation
- W-2s, 1099s, K-1s, and brokerage statements
- IRA and HSA contribution statements
- Mortgage interest, property taxes, charitable donations
- Health insurance, childcare, and education expenses
- Records of major life events (marriage, home sale, etc.)
New Deductions Under the OBBBA
- Tip income: up to $25,000 deduction for qualified tipped workers
- Overtime pay: up to $12,500 deduction for premium overtime
- Car loan interest: up to $10,000 on new vehicle purchases
- Senior deduction: additional $6,000 for taxpayers age 65+
For Business Owners
File S-corp/partnership returns first (K-1s flow to personal returns). Ensure books are closed, 1099-NECs issued by February 2nd, and review mileage logs, home office expenses, and business travel.
Understanding Extensions
An extension gives you more time to file, not more time to pay. If you expect to owe taxes, make an estimated payment by April 15 to avoid interest and penalties.
