DETROIT (WWJ) – As people start to prepare to file their 2016 tax return, Lawrence Levy, President of Levy & Associates, has some advice if you work for yourself.
“If you are self-employed, no matter what you do for a living, whether you are a real estate agent, whether you are an electrician, whether you are a plumber or a contractor, if you are self-employed you want to make sure that you give your tax preparer a list of all expenses that are going to offset your 1099 income,” he says.
You may know in advance that you will be owing money — what if that causes a hardship?
“The IRS and the state of Michigan do have options out there, the simple option is you can go into an installment agreement, the IRS and the state have different terms for the installment agreement — if you owe money from prior years and you think you’re going to owe again, the IRS and now the state of Michigan has an Offer and Compromise program.”
And Levy says all homeowners need to provide all of your W-2s, your mortgage interest statement and a rundown of property taxes you paid in 2016.
This year tax day, April 15, falls on a Saturday — so taxes will be due the next business day.