Tips to help taxpayers pay their taxes this tax season.

It’s tax time. In the simplest terms, there are basically two ways taxpayers can ensure they don’t pay more taxes than required under the law — choose a qualified tax preparation specialist and provide the appropriate documentation of income and expenses.
Tip 1: Choose your tax preparer carefully
Tax laws are under continuous revision and this year there is a good news, bad news scenario — many favorable tax rules were extended but not all rules got the same treatment. Individuals and businesses who want to stay abreast of the latest, most up-to-date information in order to obtain a fair return should consider hiring a tax professional. Two categories of preparers could be of particular assistance.
An enrolled agent or EA is a federally-authorized tax practitioner with technical expertise in the field of taxation. EAs are empowered by the U.S. Department of the Treasury to represent taxpayers before all administrative levels of the Internal Revenue Service for audits, collections, and appeals.
Only enrolled agents, attorneys, and CPAs may represent taxpayers before the IRS.
According to the National Association of Enrolled Agents, only EAs are required to demonstrate competence to the IRS. EAs are tax specialists.
Attorneys and CPAs are state licensed and may or may not choose to specialize in taxes. The Oklahoma Society of Certified Public Accountants urges people to ask about a tax preparer’s training and experience in tax preparation. A CPA must meet education standards and pass the Uniform CPA Examination.
Both EAs and CPAs are required to complete continuing education. EAs can earn a license in one of two ways. They can either pass a comprehensive examination over the tax code or have worked at the IRS for five years “in a position which regularly interpreted and applied the tax code and its regulations.” EA candidates are subject to a background check conducted by the IRS.
The Florida Society of CPAs suggests asking about a preparer’s background in specific areas such as self-employment, estate issues, or small business. Another important question to ask in advance include what fees a tax preparer will charge. Review your return once it’s done and use it to consider choices for next year. A CPS may be able to advise you on financial concerns.
Tip 2. Gather important records
In addition to W-2s and 1099s gather supporting documents such as receipts and canceled checks. Consider some of these areas:
• Home energy — you can get credited for energy-saving improvements to your primary residence such as insulation, doors, windows, heat pumps and more. You will need the manufacturer’s statement that the device qualifies such as the brochure of information from a website.
• Education — course work to improve job skills, any college education; Schools send out 1098-T forms. You might have to has your son or daughter if the college sent those to a student address. Keep track of required texts, manuals and fees in addition to other materials and costs.
• Charity even if it comes from your IRA
• Mortgage Insurance (last year for this one).
• Stocks and mutual funds
• Refinance settlement agreement or documents from buying or selling property
• Child care
• What changed this year? Did you move, experience the birth or death of a loved one? Have special legal or medical costs? Your tax preparer will need to know this information. For more info log onto http://www.taxsolutionsnetwork.com