Even though we just wrapped up another busy tax return filing season, its already time to start planning for next year. We would like to help you avoid surprises when preparing your next tax return. Here are a couple common situations we see:
- Did you have any life changes? Getting married or having a child can change your tax situation. You may need to change the amount of tax withheld from your paychecks. You can do this by completing a new Form W-4. Failing to do so could lead to you being more underpaid or overpaid than you are used to. See our post last year explaining who does and does not qualify as a dependent if you have any questions.
- Did you enroll in insurance coverage through the Health Insurance Marketplace? If so, be sure to report changes in circumstances to the Marketplace. This will prevent you from receiving too much advanced payment of the Premium Tax Credit.