Taxes

Instruction Manual

How to Pay Taxes

Zhakupova Karima

North American College

Steps to Pay Tax

Overtime, the incessant debate fills the ears of the inhabitants of the society, as though what kinds of responsibilities, the establishment of the country owes towards the general public. It will not be wrong to state that the aspects of owing responsibilities is a two way traffic; if the establishment of the society has certain obligations towards the society and its inhabitants, then the inhabitants of the society endorse certain duties and obligations towards their country and establishment, as well. Interestingly, the most important and pivotal obligation that the public holds towards their country is considered to be a quagmire by them, and that is the payment of taxes.

This paper intends to provide an instruction manual of tax. The primary focus of this paper is to formulate 10 steps to pay tax. These steps shall provide a detail manual as how one should prepare himself and follow the rules in order to pay his taxes. This shall provide some tips to the people and create awareness regarding payment of taxes.

1. Collection of 1099s and W-2s

The employees must collect the W-2 wage information from their employers. Usually this is mailed by the employer to employee by the end of Jan. Further, at the same period the investment companies shall mail the 1099s to their customers with all the details of bond or stock sales on their account with thin the past year.

2. Collection of Copy of Brokerage or Bank Statements

The bank statement holds great significance because it provides complete detail of transaction over any period of time. For instance, if a banker is reviewing a checkbook and he comes across that the customer has deposited $1500, he may assume that it is salary and may deduct tax. However, bank statement will show that it was a gift, since it was deposited only once.

3. Setting Aside IRA Contributions...