Starting and running a small business can be very challenging and very exciting. Most business owner’s start a company to do something they love. That passion can be a great motivator, but it can also be a detractor in maintaining structure and organization. Good recording keeping is essential for the daily operations of a successful small business. Proper record keeping on money matters allows a business to operate smoothly and eliminates loss of capital and much needed deductions when filing taxes. As business owners are preparing to gather information to file tax returns; it is very to review several issues before getting started
Do I Need a Tax Preparer?
Most small businesses need a tax preparer. Tax preparation for small businesses have become more complex and a professional tax preparer will know all of the current year’s tax deductions and credits for your business. He can also assist with the preparation and identification of all items needed to write the return. Always enlist the help of a CPA, Enrolled Agent or another qualified tax preparer to prepare your business taxes.
What types of items will I need for Tax preparation?
After making the decision to hire an experienced Tax Preparer, the business owner should consider a checklist with all of the information the Tax Preparer will need. Ideally, your tax preparer will provide you with a checklist. However, your business should be prepared to provide all income, cost of good sold and expenses. Each category will have list of items to include. Listed below are examples. However, they do not represent what you made need. Rely on your Tax preparer for the most accurate information for small business tax preparation.
- Gross receipts from sales or services
- Sales records (for accrual based taxpayers)
- Returns and allowances
- Business checking/savings account interest
- (1099-INT or statement)
- Other income
Cost of Goods Sold (if applicable)
- Beginning inventory total dollar amount
- Inventory purchases
- Ending inventory total dollar amount
- Items removed for personal purposes
- Materials & Supplies
- All Office supplies and equipment
- Computer & internet expenses
- All Transportation and travel expenses
- Commissions paid to subcontractors
- Federal and state payroll returns (Form 940, Form 941, etc.
- Wages paid to employees, Form W-2 and W-3
- File Form 1099-MISC and 1096 as necessary
- Interest, Depreciation, and Professional Fess
- All other expenses
Your Tax Preparer will provide a list of all items you need to prepare your taxes The Key to successful tax preparation is organization and relying on the wisdom and experience of your Tax Preparer. Hire a strong and experienced Tax preparer who assist you from the beginning. Providing Tax preparation, return completion and submission, as well as support post return submission. At King Financial Services, Sandra King and staff provide superior services to all companies across the United States. As an Enrolled Agent, Ms. King has twenty years of experience, understands all facets of Tax. Call King Financial Services. We and help your company with Tax Preparation for 2019 and file your completed returns with every detail to cut your company’s taxes. Call King Financial Services today.