What Documents do I Need for a Tax Review?

Everyone’s life is different, and similarly, everyone’s tax return is different.  

To perform a tax review, the first step is to determine why the review is being performed.  If a tax review is needed because you were unhappy with last year’s outcome and your current year has not changed, then an analysis of withholdings throughout the year is necessary.  If a tax review is needed due to a change during the year, then a more detailed review can be performed in a specific situation.  

As a starting point, the following documents are used to perform a tax review:
  • The prior year’s tax return – This provides guidance on where to start the review
  • The most recent Year to Date (YTD) income statements:
    • If you are a salaried worker, this would mean a YTD pay stub for all jobs worked during the year
    • If you are an hourly worker, this would mean a pay stub for a typical work week as well as a YTD pay stub, if the most recent pay stub has a reduced number of hours
    • If you receive a pension, a YTD statement of pension income and withholdings
    • If you take distributions from pre-tax accounts, a YTD accounting of the distributions taken and withholdings from each
  • Details of any significant changes in investments, such as any gains / losses on sales made during the year or new investments made which earn interest and / or dividends
  • Updates to any deductions for the year such as:
    • Mortgage changes
    • Charity contributions
    • Childcare expenses
  • It is also important to put together any information about significant changes between tax years.  

Tax reviews can be a detailed and important way to stay up to date on your finances and remove the uncertainty of tax season. 

Have questions? Schedule a complimentary consultation for assistance with your specific situation. We’d love to help!