Small Business Tax Preparation Checklist
If you’re a business owner or manager, you may feel some trepidation when you know that tax time is approaching. One way to minimize this anxiety is to be prepared for the tax season by using a simple small business tax preparation checklist. Using a checklist ensures that you’ll have all the documents you need to be compliant with IRS tax requirements. Once you put the documentation together, tax time is smooth sailing.
Records that should be kept of business income include sales receipts or records of sales, the interest from business bank accounts, or any other income from the business that reflects some sort of profit. How your business will be taxed depends upon what kind of business it is, for example, a sole proprietorship, partnership, or corporation. Each type of business has its own specialized IRS form to complete.
Business Expenses and Cost of Inventory
It can get expensive to run a business, and in order to maximize your tax benefits from deductions, it is crucial to keep accurate records of your business expenses. The cost of your computer and internet service, your telephone bill, business travel expenses, rent of office space or square footage of home office space, various office supplies, as well as depreciation are all business expenses that can be deducted.
The cost of inventory is also something that should be accurately recorded as part of tax preparation for a small business. Materials and supplies as well as purchased inventory are all a part of this. The cost of business insurance may also be tax deductible and is useful for insuring your business during slow times.
Call to Schedule a Free Consultation With an Oregon Certified Public Accountant Today
If you are interested in learning more about how to prepare your small business for the tax season, call to schedule a free consultation with an Oregon certified public accountant today. The experienced professionals at the digital accounting firm Perpetual CPA will use their knowledge and experience to help you maximize your tax benefits by finding every deduction to which you are entitled. We can help you with the tax forms and with record keeping for your annual tax deductions. Visit our web site at perpetualcpa.com or give us a call at (503) 217-4114 and speak with our knowledgeable staff to set up your consultation. You’ll be glad that you let our accounting professionals point you in the right direction.