You Probably Need These Expense Documents
When Filing Your 2018 Taxes
To get the most out of your tax return in 2019, it is important to know what expenses may be deductible. Not all of the deductions available to you are provided by a third-party reporting source, so it is up to you to maintain these records.
Make sure you’re prepared and gather these expense documents before you see your accountant. We’ve organized this list into the main deductible categories used by your tax preparer.
Health & Care Expenses
- All expenses paid for childcare (be sure to have your providers tax ID number)
- All medical, dental and vision expenses not covered by insurance and for which you paid your own money
- All wages that have been paid to a domestic care provider (be sure to have the providers tax ID)
- Documented evidence that you currently pay for your own health insurance
Business & Investments Expenses
- All records related to your business expenses, including the cost of goods sold, travel expenses, and depreciable assets purchased
- Any indirect expenses relating to investments
- The cost basis of any investments sold (if this information has not been provided to you by a broker)
- All expenses incurred for a rental property
Taxes Paid
- The costs associated with the preparation of last year’s income tax returns
- Property taxes that have not been reported on Form 1098
- Federal and state estimated tax payments made for the tax year
- Sales tax information (if applicable) for the past year
Charitable Contributions & Energy Savings
- Proof of all charitable contributions (but only if they have not been reported by the receiving organization)
- All records and receipts for the purchase of energy efficient materials or equipment installed in the home.
Other Miscellaneous Deductions
- If you paid alimony, documentation or records of those costs
- Documentation and records of higher education expenses that were paid out-of-pocket
- Proof of the mileage that was driven for business, employment, medical and charitable activities
- Records of payment made on tolls and parking for the above activities
Continue to save these documents throughout the year, so that when tax season comes along in 2020, you are prepared to get the most out of it, in the most stress-free way possible!
