The Complete Guide To Doing Taxes On Your Own

You have to file a tax return because you’re probably a taxpayer. The IRS considers taxable income as all income from whatever source derived, including gains realized, unless otherwise excluded.

If you have enough income, the IRS looks to tax in one year to exceed the standard deduction for your filing status. Then it’s time for you to do your taxes on your own and file that return with the appropriate government agency. If not, you might still consider filing a tax return.

To prepare your taxes on your own, you’ll need to assemble the correct paperwork. That includes all of those forms that have been coming in from various sources:

– Form W-2: Wage and Tax     Statement – Form 1099-NEC:     Nonemployee     Compensation – Form 1099-MISC:     Miscellaneous Income – Form 8949: Sales and     Other Disposition Asset – Form 1120: U.S. Corporate     Income Tax Return

If you plan to take a specific deduction that requires documentation, make sure to hold onto anything and everything if the IRS looks for supporting paperwork.

Once you have this information squared away, it’s time to prepare your taxes using Form 1040, Individual Income Tax Return. You can file 1040 manually by filling out and mailing the form to the IRS.

When you begin tallying your income earned for the year, you will eventually end up with your “gross” income from all sources. This includes your wages, tips, self-employment income, investment income, real estate income, and more.

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