What you need to know about income tax returns - WALB.com, South Georgia News, Weather, Sports

What you need to know about income tax returns

ALBANY, GA (WALB) - Many of you may have already received forms for your income tax and we want to make sure you are on the right track for filing. It may not be the most exciting task but it is important, and can be easy if you follow just a few guidelines. 

H&R Block Senior Advisor Sid Hanson says try to make a list of all the documents you can get credit for. This would include: college loans, tuition, home mortgage, retirement, and charity donations, 

Hanson says one task many clients tend to overlook is retrieving forms from previous jobs, leaving a form out you will force you to amend it later and cut into your return process time. 

Tax experts say this year clients will also have to consider documents needed for the new health insurance policy from the Affordable Care Act. 

Millions who have purchased health insurance through the marketplace will have to bring in their 1095-A, an important form that can significantly impact credit.

"Without it we have to stop right there, the return is going to have to go on hold until we get that. That is key information due to the Affordable Care Act," Hanson said.

Hanson says the new policy affects those without insurance as well, and feels clients have a common misconception of how the penalty applies.

"It's actually a $95 penalty or one percent of their income, they go to whichever is greater," Hanson continued.

For example, if an individual made $65,000 last year and has no health insurance, the penalty would be $447. 

Other steps to consider include: double checking your math, be mindful of your filing status, and remember to always sign and date your return. 

The last day to file is April 15th for individual return. 

Click here for information from the IRS

Copyright 2015 WALB. All rights reserved.

Powered by Frankly