As the owner of a small business, you’re expected to complete 1099 forms at tax time, declare your income sources, expenses and abide by deduction rules; there is a lot involved, and getting it wrong is no rare occurrence. The two biggest concerns for business owners when filing their taxes, are that their financial reports are not up to date and that they haven’t completed the tax financial records for the previous year, both of which are essential to the filing process. With this in mind, it’s no surprise that business owners turn to the tax professionals to help ensure that they don’t make any mistakes with their taxes.
Let the tax professionals help you develop a cost-effective tax plan:
Engage with a tax professional (or more than one depending upon your needs) form the very outset and make sure that your financial data is always up to date. This can help avoid you having to scrabble around at filing time to gather together expenses data and financial records and can ensure that creditors and investors always have access to the latest information.
Let the tax professionals keep you up to date all year round:
With their help, you can be sure that your employee pay records and employment taxes are dealt with efficiently all year round, making tax time a breeze, especially when put along with all the other data that they will help you to track and record throughout the year. Having somebody to answer to and be prepared for – other than the IRS – can be a great motivator and will help to ensure that you give them the information they need, whenever they need it. If you’re not efficient and organised, your tax professional will not be able to do their job efficiently either and you’ll end up paying them for services that their unable to provide you with.
One other intimidating element of tax time are audits, but having a small business tax professional helping you significantly lowers the risk of you being subjected to one, and if you are chosen for one, having them in your corner will give you the support and advice you need.
How a tax professional can help you to be less intimidated by the IRS:
Small business often err on the side of caution when it comes to filing, out of fear of an audit from the IRS, but a good tax professional will review your records and pay particular attention to deductions you’re not taking advantage of. Qualified and experienced tax pro’s that are familiar with your business should know to check for deductions that are routine and raise questions about backup receipts for less common deductions.
If your taxes are intimidating you, then seek help from a tax professional before it’s too late. The quicker you can get your records and data shipshape, the quicker you can get on with the other important elements of running your small business, and the less likely you are to draw attention from the IRS.