You're probably getting ready to go through last year's records and prepare for this year. But what should you keep and what can you throw away? Here are some things to keep in mind as you sort through your records.
Brokers are required to report your cost basis to the IRS. Without good recordkeeping, you may not be able to prove you were overtaxed because of incorrect basis reporting by your broker.
Here are five tax topics that seem innocent but can cause problems if not handled correctly.
When it comes to taking qualified deductions on your Federal Tax return three things must happen.
First, you must recognize that an expense might be deductible on your tax return.
Second, you must keep a record of the expense in an organized fashion.
Third, you must have the proper (and timely) documentation to support your deduction.
While this may seem evident to most, here are some typical areas that taxpayers often fall short, costing them plenty during tax filing season and during IRS audits.
© 2006-2018 Michael DiSabatino, CPA. All Rights Reserved.