Tax and Accounting FAQs
Frequently Asked Tax and Accounting Questions
Get answers to your most common tax and accounting questions here. These are the questions our clients frequently ask us. If your question is not listed here, please don't hesitate to contact us - we're here to help.
- What documents do I need if I have a mortgage?
Form 1098 Mortgage Interest Statement – This form will be provided annually by your mortgage company. The form should list the interest and real estate taxes paid for the year through the mortgage company.
- What documents should I receive from my employer?
Your W-2 form listing your wages paid and taxes collected by your employer for the year.
- What documents do I need if I am unemployed?
Form 1099-G – This form will list the total amount in unemployment you received and any federal and/or state taxes withheld
- What documents do I need if I am self-employed?
All 1099s you received from clients for payments received if any. In addition a breakdown of income and expenses for the year. Optimally, a Profit & Loss statement and Balance Sheet statement for the year from a bookkeeping program (with all bank and credit card accounts reconciled)
- When is the deadline to file my taxes?
The deadline for S Corporations and Partnerships is March 15th. The deadline for C Corporations, Individuals, and Trusts is April 15th.
- When is the earliest that I can file my taxes?
The IRS opens the electronic filing portal usually around the end of January of the year following the tax year. Once the portal opens, taxes can be e-filed.
- Is there a penalty for filing my taxes after the deadline?
There is no penalty for filing taxes after the deadline if an extension was filed timely. Penalties and Interest are only accrued by the IRS and States/Local Taxing Authorities if the tax return is filed after the deadline without an extension or if the tax return is filed timely, but with tax liabilities in excess of $1,000.
- What paperwork should I bring to my tax interview?
A copy of your previous year’s tax return and all tax forms received for the tax year (1098, 1099, Etc.)
- Can I deduct expenses paid for repairing my home?
If the property is a rental property and the repair is minor, the full amount can be deducted. If it is your primary residence, the repairs increase your cost basis in the building and cannot be deducted on your taxes.
- If I forgot to report a second income on my taxes, how can I report it now?
Yes, you can file an amendment on your tax return to claim the income. There is potential for penalties and interest since the income was not included in the original filing.
- Do I have to pay taxes on money that was gifted to me?
Taxes are not paid for gifts received, however, if a gift exceeds in $16,000, a gift tax return must be filed with the IRS.
- Am I taxed on money that I inherit from a loved one?
In most instances, you are not taxed on inheritance, but there are unique situations. A further discussion with A&W would be warranted to provide advice.
- Do I need to report work-study income if I am a full-time student?
If your W-2 income exceeds your standard deduction, yes you have to file. Also, if you received a 1099, you must file for that year.
- Why should I file my taxes electronically?
As of right now, the IRS and States/Localities are not requiring electronic filing, but are becoming more restrictive. In addition, by filing electronically, the response time of the IRS and States/Localities is quicker.
- How can I check the status of my refund?
The IRS and States/Localities have a “Check My Refund” option on their tax websites
- Why is my refund less than I expected?
If a refund is reduced, the IRS and/or States/Localities will send a notice explaining why.