How to Prepare for Tax Filing Season

Do you have your W2s, 1099s and other tax forms ready to go? The April 17th tax filing deadline for Massachusetts residents will be here before we know it.

Before you settle in to file your taxes, you may want to listen to the “Tax Time” episode of Rockland Trust’s No Shame in this Money Game podcast. In this episode, host Julie Beckham, Rockland Trust’s Financial Education Officer, discusses all things taxes with Eastham CPA Steven Garran.

Three of the top takeaways you’ll learn more about by listening to this conversation:

Where do you start?
Who doesn’t love free? There are options if you choose to file taxes yourself. Steven and Julie chat about who needs to file taxes and how you can do it on your own if you want to.

Although there are too many different kinds of tax forms to list them all here (hundreds, in fact), here are a few common tax records you need for filing:

1. Form 1040 or Form 1040-SR: The standard federal income tax form
2. W-2: Income from your employer
3. Form 1098: Mortgage interest statements
4. Form 1098-T and/or 1098-E: Tuition payments and interest paid on student loans
5. Forms 1099 (including 1099-MISC or 1099-INT): Miscellaneous income, including retirement plans and banks. You may receive multiple 1099s — for instance, for any interest you earned on a savings account, income earned as a gig worker, or unemployment benefits you received.
6. Form 1040-X: To amend or fix a tax return
7. Form 4868: To request a filing extension

It’s OK to get professional help when filing your taxes
Just like you let a professional handle changing the oil in your car, you may want to seek a professional’s help in filing taxes even though you can do it on your own. Tax professionals know more about the ins and outs of the tax code, which can be complex depending on your financial situation. For example, Massachusetts changed some of its tax laws in 2023 which may have an impact on your state tax filing. No shame in calling in an expert!

How bumping up a tax bracket could impact your taxes
If you are moving from one tax bracket to the next, you might be bracing yourself for a bigger bill from Uncle Sam. But, it does not necessarily have as big of an impact on your pocketbook as you may think. This is where working with an expert can help you understand your tax liabilities and if you are eligible for any deductions or other tax credits.

PRO TIP

Before submitting your tax return, it’s best to manually review your forms before submitting to account for any errors that could cause delays. Miscalculations or skipping a critical section will mean that the IRS has to manually review it, and you’ll need to submit a correction

Steven’s website has a variety of guides based on his expertise and experience. Below are some dates that are important to keep in mind this tax season:

• January 29: First day you can file federal tax returns
• January 31: Deadline for employers to give employees Form W-2 for filing
• April 17: Last day to file your 2023 tax return, request an extension, and pay taxes owed due to Patriot’s Day falling on April 15 this year
• October 15: Due date to file if you request and are granted an extension

If you want to hear more from Julie, we have a growing library of the No Shame in this Money Game podcast available and Mini Money Minutes podcast for those who like getting quick bits of information on the go! 

Rockland Trust is here to help you with your financial questions, goals and future. Check out the Learning Center for more resources touching on a variety of topics from budgeting to home ownership to retirement and more.

Anticipating a tax refund this year? Learn about some smart (and fun) ways to use that money!