National Preparedness Month is coming to an end, but that shouldn’t limit people from planning for a potential emergency or disaster in the future. Preparedness starts at home and whether it’s for personal or business, emergency preparedness plans are crucial and can give a head start to recovery should they be affected by an event.
Here are some things taxpayers can do to help protect their financial records.
Update emergency preparedness plan annually.
Taxpayers should review their emergency preparedness plan, at least annually. Ready.gov has resources and checklists to help people put together their emergency preparedness plan.
Create electronic copies of documents.
Taxpayers should keep important documents and storage devices in a safe place. If original documents are available only on paper, taxpayers should consider converting them to electronic versions and storing them on a USB flash drive or in the cloud. Many financial institutions provide statements electronically.
Document valuables.
Take pictures or video of valuables before disaster strikes. It makes it easier to claim insurance and tax benefits. IRS.gov has a disaster loss workbook that can help taxpayers compile a room-by-room list of belongings.
Understand tax relief available for disaster situations.
Information on disaster assistance and emergency relief for individuals and businesses is available at IRS.gov. Taxpayers should also review Publication 547, Casualties, Disasters and Thefts.
Taxpayers who live in a federally declared disaster area can visit Around the nation on IRS.gov and click on their state to review the available disaster tax relief. Those who live in designated areas for disaster relief receive automatic filing and payment postponements for many currently due tax returns and don't need to contact the agency to get relief.
People with disaster-related questions can call the IRS Special Services Hotline at 866-562-5227 to speak with an IRS specialist.
If people have lost their tax documents, they can order tax transcripts or request copies of previously filed tax returns and attachments through Get Transcript on IRS.gov, by filing Form 4506 or by calling 800-908-9946.