People go into business with lots of different goals in mind, one goal all businesses share is making money. When it comes to making money it’s not just a simple transaction of trading product or services for cash- a lot of paperwork comes along with running a business. This means bookkeeping, payroll, and of course taxes. At King Financial Services we offer all of these financial services to our clients to help them run their businesses smoothly.
Listed below are some tax tips for new business owners:
- Pick the business entity that’s right for you
For legal and tax purposes, you can structure your business in different ways. Choosing the right one can impact how you file and how much you owe at tax time. You will need to choose between sole proprietorship, partnership, limited liability company, S corporation, and C corporation. If you have a difficult time choosing which structure best fits the needs of your company, talk to your accountant. No single business structure will be perfect for everyone, but which one you choose does influence your taxes greatly.
- Choose an accounting method and sticking to it
Even if your business is paperless and everything is done digitally,, you’ll still need to keep excellent records and account for all of your income and expenses. There are different types of accounting methods, but cash and accrual are the main two.
- Know what tax breaks you qualify for
Working with a tax professional such as King Financial Services goes a long way to ensuring you are getting all of the tax breaks you qualify for. The tax code offers all kinds of tax credits for businesses, and you may be able to take advantage of some the first time you file your business taxes, provided you qualify. To make the most of the credits and deductions available to you, contact us today.
Sandra King is an enrolled agent, empowered by The United States Treasury to prepare your personal or business tax filing. While her services are offered nationwide, Sandra King locally serves the greater Dallas-Fort Worth area, including but not limited to Arlington, Bedford, Colleyville, Euless, Fort Worth, Grand Prairie, Hurst, Mansfield, North Richland Hills, and Richland Hills.