Dear Client,

We are very excited to be preparing your tax return this year. In order to smooth the data collection process, we have created a checklist of information we will need to complete your return. Please note that not all items will apply to everyone.

We will need to receive your documentation by April 1st in order to complete your return by April 15th. If we receive your information after this date, we will file an extension for your return and reach out to you after the April 15th deadline to complete the return.

If you have any questions, please contact me by email or phone. 

Best,

Bright Hill Advisors

• Personal information:
  • Full names of the taxpayers
  • Dates of birth
  • Social security numbers
  • Address
• Dependent information:
  • Names
  • Dates of birth
  • Social security numbers
  • Relationship
  • Whether the taxpayer has full custody of the children or if they split custody
• Income:
  • Wages (W-2s)
  • Investment income:
    • Interest income (1099-Int)
    • Dividend income (1099-Div)
    • Capital gains (1099-B)
    • Reports for any cryptocurrency transactions
  • Business income and expenses (for sole proprietors)
    • Revenue
      • Copies of any 1099-NEC received
      • Total for income not included on 1099-NECs
    • Expenses:
      • Automobile expenses
      • Office supplies
      • Phone expenses
      • Interest expenses
      • Equipment
      • Legal and professional fees
      • Business meals and entertainment
      • Dues and subscriptions
      • Continuing education
      • Travel expenses
      • Other business expenses
  • Retirement income:
    • Pension income
    • IRA distributions
    • Social security income
  • Income and expenses for any rental properties
  • State tax refunds received
  • Unemployment compensation received (1099-G)
  • Alimony received (for divorces finalized prior to 12/31/2018)
  • Income from pass-through entities
    • K-1s from partnerships and s-corporations
    • Dividend income from c-corporations
• Adjustments to income:
  • Health insurance paid for self-employed individuals
  • Student loan interest
  • Educator expenses for teachers
• Deductions:
  • Medical expenses (if they will exceed 7.5% of the taxpayer’s income)
  • State taxes paid or sales tax paid in states without state income taxes
  • Property taxes paid
  • Personal property taxes such as DMV fees based on a vehicle’s value
  • Mortgage interest 
  • Mortgage balances if the mortgage balances are in excess of $750,000
  • Investment interest paid
  • Cash donations
  • Non-cash donations
    • Receipts are required if the total deposit is over $500
    • Vehicle donations require a 1098-C from the charity that received the vehicle
    • Items valued at more than $5,000 require an appraisal which must be submitted with the return
• Documentation for potential credits:
  • Invoices for solar panels
  • Purchase agreements for electric vehicles
  • Education expenses for higher education (1098-T) 
  • Foreign taxes paid (often listed on 1099-Div)
• Estimated tax payments (ask for a list of all payments made throughout the year along with dates)
• Other information needed to prepare and file the return:
  • Copy of the prior year’s tax return (to look for carryforwards)
  • Email addresses (if using electronic signatures)
  • Phone numbers 
  • Bank information if scheduling direct deposit of refunds or electronic payments of the taxes due
  • Documentation of health insurance coverage
  • Copies of any notices received from any taxing authorities
  • Personal identity theft prevention number from the IRS (if applicable)