Believe it or not, it’s that time of year again—tax season. While no one highlights this on their calendar as a favorite “to-do,” our goal at Perennial Edge is to make the entire process as smooth, organized, and painless as possible for you and your tax professional.
Here is a short roadmap for assessing what happened in your accounts in 2025, what to do, and what to gather …
What Tax Documents to Expect
Depending on your situation, you may receive several of the following forms. Here’s what to keep an eye out for:
Income & Employment Forms
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W-2: wages & salary
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1099-NEC: self-employment/contractor income
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1099-MISC: rents, prizes & other miscellaneous income
Investment & Retirement Forms
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1099-B: taxable brokerage transactions
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1099-DIV: dividends & capital-gain distributions
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1099-INT: interest income
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1099-R: IRA, pension & annuity distributions
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1099-Q: 529 Plan distributions (education expenses)
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5498: IRA contributions/year-end values (arrives in May for recordkeeping only)
Trusts, Partnerships & Private Investment Forms often arrive late in the season, sometimes March or even early April. This is normal.
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K-1 (Form 1065): partnerships/LLCs
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K-1 (Form 1120-S): S-corporations
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K-1 (Form 1041): trusts & estates
Real Estate & Insurance Forms
- 1098: mortgage interest
- 1099-S: sale of real estate
- 1095-A/B/C: health insurance verification
Custodial Timing Reminders (Schwab & Others): Schwab issues consolidated 1099s in February, but these are not usually final until approximately March 21.
✔️ Pro Tip: Prepare your return early but wait until early April to file to avoid amendments if corrected forms are issued.
ℹ️ Frequently Asked Questions & Key Reminders
Why do some 1099s get corrected?
Dividends, income reclassifications, REIT data and late-arriving partnership information can all force custodians to update previously issued 1099s. This is very common, so it’s best to plan for it (by waiting until early April to file).
Qualified Charitable Distributions (QCDs)
If you donated directly from your IRA to a charity, the 1099-R does not show the QCD separately. It’s up to us—and you—to record the correct amount so you avoid paying tax on a charitable gift. We will send you a reminder of your QCD total so you can report it properly.
Roth Conversions
Many of you completed Roth conversions this year. These may be fully or partially taxable, depending on your IRA basis. If you or your CPA have questions about Form 8606 or how to report conversion taxes, we’re here to help.
Gifts to Family & Friends
If you made gifts this year (college savings, down-payment help, annual exclusion gifting), you’ll need to summarize:
- who received the gift
- the amount
- whether it was cash, stock, or another asset
We’re happy to help gather these details so your CPA has a complete record.
Our Commitment to You
Each year, we aim to provide our clients and their tax professionals with a full, clear picture of everything that occurs in there Perennial Edge accounts to help ensure tax season is smooth sailing. If questions come up—cost basis, distributions, gifting, QCDs, 529 plans, Roth conversions—we’re only a phone call or email away.
