How to Prepare for the Coming Tax Season

Making_a_budgetWith the end of the 2015 and a New Year beginning, tax season will soon be upon us. Employers must have their 2015 W-2 forms out to their respective employees by theend of January at which time you can begin preparing to have your tax returns completed. Whether you do them yourself or have a service complete them for you, there are some vital elements that you must have for your tax return to be completed correctly. Here is how you can get a jump on your 2015 tax return.

Make a List of Income Sources and Gather Documents

If you are an employee of a company, you will receive a W-2 that shows how much you earned and how much you paid in taxes during the year. If you have more than one job, you will receive more than one W-2. Make sure you gather them all. You may work as an independent contractor and receive a form 1099 or several 1099s. Be sure to collect all of them in order to complete your tax return.

You may also have income from investments. Even an interest bearing savings account pays you money each year. It may not be much, but it needs to be included in the preparation of your tax return. If you earned money from it, make sure to include it.

Gather Necessary Receipts

There are certain things you can deduct from your income that will benefit you and your tax return. No matter how large or small, things like charitable contributions can wind up adding money to your tax refund. Gather up all of your receipts including items like medical expenses and business expenses that were not reimbursed.

What If I’m Going to Owe Money?

If you think you are going to owe money, do not try and skirt the issue. Pay the bill and pay it by April 15. Sure, you can file for an extension, but you are eventually going to have to pay up. If you do not have the money, there are a few easy ways to get it. One is a car title loan. If you own a car, you may be able to use it to borrow the money to pay your tax bill.

A car title loan is a short-term loan usually for a few hundred to a few thousand dollars that is secured by a vehicle. The loan is based upon the value of the car or truck not on an individual’s credit history. Lenders like Embassy Loans can process title loans quickly, often within an hour, so you can have access to cash quickly. Use your loan to pay your tax bill and then pay off your loan as soon as possible.