Taxes – FAQs

What do I need to have my taxes prepared?

1. Any tax related forms that have been mailed to you (W-2, 1099, dividends, etc.)

2. A copy of the previous year's tax return

3. Drivers License

4. Social Security Card

5. Itemized income and expenses if you are a business owner.

Why should I have a professional do my taxes?

A tax professional is up to date with the changing tax law, and has the experience and expertise to get your taxes done quickly and correctly.

Whether your return is complicated or basic, a tax professional provides a worry free experience during an already stressful time of year.

How do tax brackets work?

Most people believe that all of their taxable income is taxed at one flat percentage based on their tax bracket. In reality, your taxable income is divided into chunks and taxed in several different brackets. For example if you are filing single and made $50,000 after deductions, you will be taxed in three different tax brackets:

• $0 to $9,525 of your income will be taxed at a 10% rate

• $9,526 - $38,700 of your income will be taxed at 12% rate

• $38,701 - $82,500 will be taxed at a 22% rate

Can/should I Itemize?

Anyone can itemize, but since the Tax Cuts and Jobs Act increased the standardized deduction for all filing statuses, itemizing has become less beneficial. In short, if all of your qualified itemized deductions are greater than your standardized deduction you should itemize.