April 15^th is approaching quickly, and 2025 income tax reporting documents are being retrieved from mailboxes and websites everywhere. Every taxpayer is responsible for amassing all pertinent documents required to prepare annual Form 1040 (Individual Income Tax Return) on or before that date (or the automatic extension to October 15, available to individuals merely for the asking). Any tax underpayment is absolutely due by April 15.

Whether a taxpayer is using a professional tax preparer or using one of the many D.I.Y. software applications, completeness and accuracy are critical. Understanding what information is needed, and knowing when to expect delivery of necessary forms is critical to avoiding making a premature filing. Filing without complete data can result in a necessary refiling, or even worse, an audit. Rushing to file in order to get a refund is not wise, and may result in unexpected paperwork, fines, and/or interest charges.

Forms W-2 (for employees with paychecks and tax withholding) and 1099 (for self-employed people, contractors, and “gig workers”) should have already been delivered, as the due date was February 2 this year. Corrections requiring new paperwork are rare, but can happen. Delaying a tax filing for that possibility is unimportant, unless the taxpayer is aware of an error on the original form.

Investors will need to await annual statements for their (non-retirement) taxable accounts. Interest and dividends received, as well as short-term and long-term capital gains, will be itemized on an annual Composite 1099 and Year-End Summary. Late February is typical for receipt of these informational forms, though they may be amended later. Rushing to file may wind up requiring an amended filing.

Individuals with IRAs (Individual Retirement Accounts) should receive a Form 5498 if any funds were placed into the IRA. This includes contributions, Rollovers, and “Trustee-to-Trustee Transfers.” The 5498 will arrive in May, and should be kept and preserved, but not filed with the 1040. IRS receives copies of all your required paperwork.

Fewer taxpayers are itemizing tax deductions since the passage of the Tax Cuts and Jobs Act of 2017 (TCJA). That does not provide taxpayers with an excuse to jump the gun by filing before all paperwork is in place. Know what to expect and confirm each document’s veracity before filing.

Most people file electronically, but if you are mailing it in, don’t wait until April 15 and assume the U.S. Postal Service will date-stamp it on time. Add at least one “safety day,” and you will avoid a possible late fee.

Better safe than sorry when dealing with the IRS (and the USPS).