Getting Organized for 2014 Tax Filing

You should start gathering your tax records for 2014 to prepare for your tax return filing. Using last year’s tax return, sort your documents to match the items on your tax return. Here is a list of more common tax records for indivduals:
• Information tax forms (W-2, 1099, 1098, 1095-A, etc.) that disclose wages, interest income, dividends, and capital gain/loss activity
• Other forms that disclose possible income (jury duty, unemployment, IRA distributions, etc.)
• Business K-1 forms
• Social Security income
• Mortgage interest statements
• Tuition paid statements
• Property tax statements
• Mileage log(s) for moving, medical and charitable driving
• Medical, dental and vision expenses
• Unreimbursed employee expenses, including mileage
• Charitable receipts and documentation
• Records of any estimated tax payments
• Home sale records
• Educational expenses (including student loan interest expense)
• Casualty and theft loss documentation moving expenses
• Records of any out of state purchases that may require use tax

As a business owner, you should gather and prepare the following documents for your business income tax filing:
• Mileage logs for business driving
• Prepare bank reconciliations for all cash accounts
• Review accounts receivable and payable lists for accuracy
• Records of any asset purchases and sales
• Credit card statements
• Comparative Balance sheet and Income statement

Automobile Mileage Rates 2015

Standard Mileage Rates
The IRS recently announced mileage rates to be used for travel in 2015. The business mileage rate increased by 1.5 cents while Medical and Moving mileage rates are lowered by one cent. Charitable mileage rates are unchanged.
2015 Standard Mileage Rates
Mileage Rate / Mile
Business Travel 57.5₵
Medical / Moving 23.0₵
Charitable Work 14.0₵

Below are the 2014 rates for your reference as well.
2014 Standard Mileage Rates
Mileage Rate / Mile
Business Travel 56.0₵
Medical / Moving 24.0₵
Charitable Work 14.0₵
Remember to properly document your mileage to receive full credit for your miles driven.

Tax Extension Bill for 2014

Extender Bill Passes
In late December, Congress finally extended many of the tax provisions that were due to expire at the end of 2013. Here is a list of the commonly used tax provisions that will now be available to you when you file your 2014 tax return. .
• Teacher $250 deduction for qualified classroom expenses
• Deduction for state and local general sales taxes (in place of state income tax deduction)
• Deductibility of home mortgage insurance premiums
• Tuition and fees deduction
• 50% additional first year depreciation deduction for businesses
• Higher Section 179 expense limits for businesses. The 2013 annual expense limit of $500,000 has been expended for qualified assets placed in service in 2014

• Tax-free contributions from qualified retirement plans for charitable contributions