How to prepare for small business tax
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Transcript of How to prepare for small business tax
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How to prepare Small Business Tax?
- An Easy Guide for Individuals, CPA’s & Small Business
“The Balance Sheet Inc.”
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Tax Preparation
Tax preparation involves preparing tax returns, income tax returns, preparing and filing forms, strategic tax planning for you and your business, and audit assistance.
Tax preparation may be done by the taxpayer with or without the help of tax preparation software and online services.
Tax preparation through online offers you a safe & easy way of filing taxes.
Online tax preparation : Save money & time.
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Take a look at Short details
Getting Organized
Keeping Right Records
Do Your Taxes
Software support to prepare TAX
Is it a good idea to prepare your own TAX?
Issues arise on Tax Preparation
Simple & Safe steps to prepare your TAX
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Getting Organized
Consult an accountant
A certified public accountant (CPA) can help you prepare paper or software accounting system as you wish to start your business, help you keep your records up to date.
Gather ideas to get your business organized and maintain to save in the long run.
IRS Filing form SS-4
Keep detailed business tax records with Employer Identification Number(EIN)
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File an Expected Taxable Income form
File projected business income figures : a) business as a sole proprietorship, fill form 1040-ES. b) business as a corporation, fill form 1120-W.
Identify right forms for your business
Depends on nature or structure of your business.
Better navigate to the IRS web page for small businesses.
Start a tax diary
Keep track of receipt dates, amounts, payees, check numbers & employee accounts.
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Gather W-4 from each employee
Apply for an Employment Identification Number (EIN), or tax number.
Create a separate worksheet for each information
Easy and quick access on each financial or sales records.
Keep a calendar of important tax dates
Set reminders for meetings (yearly or monthly).
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Keeping Right Records
Keep records of income
Gross receipts for sales and sales records
Investment interest Inventory Items removed for personal use Bank and savings account
balance Returns and allowances
Track employee payroll & contributions
Includes all legal fees and business insurance
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Track all your expenses
Expenses include transportation & travel expenses(mileage, airfare, hotels, meals, etc.) and office expenses(rent, business vehicles, office supplies, repairs & maintenance, etc. )
Track personal salary
Depends on monthly/yearly achievements.
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Do your Business Taxes (IRS Filing)
Send your employees' tax information Gather your tax records
before taxes getting on due date.
Send W-2s or 1099s to your employees and contractors.
Decide how you'll manage your taxes
Automatedtax preparation services or E-filingusing software(QuickBooks, ProSeries Tax, Ultra-Tax, Turbo Tax, ATX, Lacerte S/w).
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Deduct all necessary expenses
Make an audit for each records.
Keep receipts for all expenditure.
Tax filing status & Tax deductions.
Report for deductible expenses.
Archive all tax records for 5 to 7 years
Good to audit all records for the safety of your business.
Best method is to maintain records within software for safety.
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Software support to prepare TAX
For USA
QuickBooks ProSeries Tax
Ultra-TaxTurbo Tax
ATX
For Canada
CantaxTaxnic
TaxPrepQuicken
Ufile
For UK
CCH SoftwareIris Software Ltd.
Sage Ltd.Thomas Reuter
For Australia
Thomas ReutersCCH ProSystem
H&iSoftMYOBTaxCat
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Is it a good idea to prepare your own TAX?
Track your income transaction, Expenditure of Current Tax year.
Helps to save extra efforts & can easily take control of finances.
Transferred to tax s/w.
Joint tax filing.
Tax Returns on small & medium businesses.
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Issues arises on Tax Preparation
Confusions over Tax Categories
Trade or Business Expenses
Penalty for Underpayment of Tax
Unorganized financial statements
Day-to-Day Payroll Errors
Federal Tax Policies
Summons Enforcement
Charitable Deductions
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Simple & Safe steps to prepare TAX
Best Tax Return Preparation Hire a Certified Public Accountant (CPA Professional)
Responsible to gather in-depth knowledge of business expenditures, payable & investments
Actual Returns without Penalty.
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If you choose right CPA?
Limited Staffing Issues
Increased Efficiency
Focus on Core Activities Quality Assurance
No need to purchase s/w
Minimized Confusions
Less complex in tax preparation
Cost & Time Save
Using Hi-Tech Infrastructures
Expert & Skilled Solutions
Minimized Errors
Customer Satisfactions
Fulfilled Deadlines
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Get Connect With Us
The Balance Sheet, Inc
“Accountants In West Palm Beach, FL”
5725 Corporate Way, Suite 205 West Palm Beach, FL 33407
Phone: (561) 501-3080Fax: (855) 460-1629Visit our Website :www.taxaccountingbookkeeping.com
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THANK YOU