| (Copyrighted) | | | | number and select the option about having questions |
| While you are thinking about getting your taxes done, | | | | on how to prepare. |
| you might think about doing one or some of the | | | | 7. You also have the choice of having you local |
| following: | | | | IRS office help you prepare the tax-return. However, |
| 1. I teach my clients what they need, how to | | | | be careful. The preparing representative, may tell you |
| prepare their taxes and how to become organized. | | | | that some of your expenses are not allowed. I had |
| Possibly you should start by asking your tax preparers | | | | to argue with the IRS auditors, show them publications, |
| detailed questions about every line item of your | | | | etc. for them to see it my way. Therefore, I do NOT |
| return. Also during tax season, go to the post office | | | | suggest you taking your tax return to the IRS rep. (if |
| near you and pick up the forms and some publication | | | | you have many sources of income and deductions) to |
| or go to the and pick up some forms and its | | | | prepare. You can have the IRS prepare your return |
| instructions and start reading in order to gain | | | | if it is very simple, if you have low income and a lot of |
| knowledge about taxes. Most people need the | | | | mouths to feed (dependents). I assure you, the same |
| instructions associated with forms 1040, Schedule A, | | | | way that some of the tax preparers and CPAs are |
| Sch. B, Sch. C (if you have a self-employment | | | | clueless, some of the IRS representatives who provide |
| business), Sch. D (if you bought/sold stocks, bonds, real | | | | information and prepare taxes may also lack full |
| estate properties, or carrying over previous years | | | | knowledge. This is based upon my extensive |
| stock losses,…), Sch. E (if you had rental real estate | | | | experiences researching information for others. |
| property), Form 4562 (relates to Sch. C and E- if you | | | | SO. Whatever you do, learn about how your taxes |
| have self employment or rental real estate | | | | are done so that you will know what to save, spend |
| depreciations to include vehicles/trucks), Form 8829 (if | | | | or store during the year. Buy one of the software |
| you used your home for your self employment or | | | | packages I talked about under paragraph 6 (above). |
| rental property management), Form 2106 (if you are a | | | | They take you through a step by step interview and |
| w-2 employee which some of employee related | | | | teach you as they ask you detailed questions. If you |
| expenses were not reimbursed by your employer OR | | | | still have some unanswered questions, then call the IRS |
| you were doing job search and had job search, | | | | help line. |
| interviews and other expenses to include vehicle, meal, | | | | Now, when you call the IRS, you must know the best |
| travel…) | | | | time to call. If you are calling during the tax season, |
| 2. In my previous articles, I mentioned a website | | | | expect to stay on the phone for a minimum of 20 |
| and a couple of books. One of the books was | | | | minutes before you get started. If you call in the |
| “Your Credit = Your Life, Fix It Now!” There is | | | | evening when everybody else is calling; again, expect |
| a CD included that describes some of the tax | | | | to remain on the phone for a long time. The best |
| liabilities. You MUST read. | | | | time to call IRS for questions (whatever your question |
| 3. Take some classes and get yourself paid by | | | | may be –refunds, amount owed, or preparing) is |
| doing your taxes instead of paying a tax preparer. | | | | either in the morning and Saturdays and Sundays. |
| 4. Buy a tax preparation book, read and learn. | | | | When you call the IRS to get some questions |
| 5. While you are doing any of the above to | | | | answered and do not want your number revealed, |
| increase your knowledge (about how to prepare your | | | | then block your number. The bottom line is when |
| taxes), you can also call the IRS at 800-829-1040 and | | | | asking tax preparation questions, the IRS agent will not |
| choose the option relating to tax questions (NOT the | | | | ask you for your name, but every agent will provide his |
| option about refunds or owing taxes). I know, a lot of | | | | her name and ID number. For consistency of |
| people are afraid of calling the IRS because they think | | | | receiving correct information, write the person’s |
| the IRS agent is going to reach through the phone or | | | | name and ID down and if you are not satisfied or think |
| the satellite and get to the person claiming money. For | | | | the answer may not be correct, then call back, |
| that reason, since you don’t know if the IRS is | | | | you’ll get someone else then ask the same |
| going to hang you and shake you upside down to get | | | | questions and compare. I’m certain you’ve |
| all your money, then make an anonymous call. All | | | | heard about the “Second Opinion” concept. |
| you want to do is to get some correct information on | | | | Now let’s say you are not sure if you correctly |
| how to prepare your tax return and a better | | | | prepared your return. In that case, print it, take the |
| understanding of how things work. So, call from a | | | | return and all your supporting documents that allowed |
| blocked number and don’t give your name. Since | | | | you to do the return to your tax prepaper, tell him/her |
| you want general information about how to prepare | | | | to review the information in detail and even offer to |
| (not relating specifically to your tax returns), then the | | | | pay, or pay for time to review. This way, you will |
| IRS representatives are not going to ask for your | | | | know how good or bad you have done. IF you made |
| names or SSN. | | | | mistakes, then you can correct those mistakes and |
| 6. MOST importantly, buy a tax software such | | | | learn new things for the following years. |
| as Intuit (Turbo Tax) or H & R block (TaxCut) | | | | There is so much more to say about tax preparation, |
| software to do your taxes. Both of these software | | | | your preparer, your refund or taxes owed. It would |
| packages which are less than $30.00 each have all | | | | be impossible to address all here. The book, I |
| sorts of information and instructions and take you | | | | mentioned, “Your Credit = Your Life, Fix It Now!” |
| through “INTERVIEW” steps even in more detail | | | | talks about refunds, some scams and tax liabilities. |
| than your CPA or Tax preparer would. Now, if you | | | | The money you spend buying this book is minimal in |
| are not sure about a questions, you can read the pop | | | | comparison to the knowledge you gain. |
| up help instructions or call the IRS 800-829-1040 | | | | I hope this information has been helpful. |