Ohio Department of Commerce offers tax filing tips and reminders to maximize returns, minimize stress
With the April 15 tax filing deadline less than a month away, the Ohio Department of Commerce Division of Securities and Division of Financial Institutions are sharing helpful tips and critical reminders to help ensure a smooth process for Ohioans.
Among the items individuals are encouraged to consider are tax documents related to investment income and bank statements, both of which will help result in a complete and accurate tax filing.
“While tax time can be stressful for many individuals, there are some steps Ohioans can take to help ensure they complete this process as quickly and successfully as possible,” DFI Superintendent Kevin Allard said. “When it comes to preparing tax returns, a little bit of preparation can go a long way, so we encourage Ohioans to approach tax time with some key items in mind to minimize stress and maximize their returns.”
“Filing a tax return involving investments can feel complex, but with proper attention to detail and preparation, the process becomes much more manageable,” Ohio Securities Commissioner Andrea Seidt said. “By carefully accounting for all investment-related documents and understanding their impact, Ohioans can ensure accuracy, simplify the filing experience, and potentially maximize their financial outcomes.”
One of the most important steps Ohioans should take is to get organized. By managing your records ahead of time, you can help prevent income or potential deductions from being missed, which could lead to a more accurate and potentially larger tax return. Make sure to collect all necessary paperwork, including:
• Standard Forms: Gather all W-2s and 1099s for interest, dividends, miscellaneous income or other income documentation.
• Tax Deduction Documents: Keep track of receipts for deductible expenses and documents like mortgage interest statements.
• Financial Statements: Secure bank statements, investment income reports and copies of your most recent tax returns to ensure no details are overlooked.
The Division warns Ohioans about commonly overlooked tax filing components that can significantly impact their financial outcomes. These include:
• Required Minimum Distributions: Residents aged 73 or older must withdraw a minimum amount of money from qualified retirement accounts to avoid penalties.
• 529 Plan Distributions: Ensure all qualified educational expenses for withdrawals are properly documented to avoid unexpected taxes or penalties.
• Qualified Charitable Deductions: Deductions from required minimum distributions designated to charities may reduce your adjusted gross income, potentially lowering your tax burden.
Tax-related scams and identity theft remain major risks during tax season. Protect yourself from these threats by taking the following steps:
• Don’t Procrastinate: File taxes as early as possible to limit opportunities for fraud.
• Protect Your Information: Avoid sharing personal details over the phone or email unless you can verify the recipient on the other end.
• Use Trusted Sources: Only use secure filing methods and work with trusted tax professionals.
Ohio taxpayers are encouraged to take advantage of available resources to further ease the filing process including:
• IRS Online Tools: Take advantage of calculators, instructional videos, and detailed guides available on the IRS website.
• My Social Security Account: Utilize the “my Social Security” account to access tax documents and manage your financial records securely.
• Other Resources: The Ohio Department of Taxation offers state-specific rules, deductions and other helpful resources through its website.
The Division encourages Ohioans to keep taxes top of mind year-round to reduce stress and improve financial planning for years to come. Suggestions include updating withholdings after major life events, contributing to retirement accounts for potential tax benefits and staying up to date on changes to tax laws.
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