Checklist for Small Business Tax Preparation

Here's your Small Business Tax Preparation Checklist

Tax season is stressful, like a few other things. We, tax preparation specialists for businesses, have created this checklist to help you save money on taxes.

We have listed a few of the most important points to remember when you file your small business taxes. You won't want it to be a solo project. It is worth investing a lot more to find the right tax preparation expert, especially for small businesses.

Confirm Your Filing Deadline

First, you need to determine when is your tax filing deadline for each type of business. Single proprietorships, multimember LLC owners, and corporations with a December 31 tax calendar must file their taxes to the IRS by April 15.

For small business owners, this deadline should be simple to remember. This is the same day personal tax returns must be filed with IRS. It is commonly known as Tax Day across the country.

Small businesses that are registered as partnerships, multimember LLCs, or S corporations can file their taxes in a different way. These types of businesses must file their taxes by March 15.

Get Your Records Together

Next, make sure you have all your tax records and business reports compiled and ready for use. This is especially important if you hire tax professionals to file your taxes.

Financial records include income statements and balance sheets information. All documentation regarding your business receipts and credit card statements should be printed and organized so that they can be sent to your tax preparers.

If the information isn't available, the financial statements must be generated from raw data such as the total amount of money your company brought in, the money you spent, the items you bought and invested in, and how much money you lost.

Information about your Federal Employer Identification Number or Taxpayer Identification Number (or both) is also required.

Top-quality small business tax professionals are always available to help you understand what documentation you need, where it is located and how to secure it, and guide you through the process to ensure you are as organized as possible.

All eligible tax deductions and credits are available to you.

The best thing about hiring small-business tax preparers is their ability to locate all of the tax deductions or credits that you can legally leverage. This includes tax credits and deductions you might not have known existed. These specialists will focus on lowering your tax liabilities while still adhering to the US tax code and law.

Do you require more time to pay your tax liabilities?

Your tax preparers should be available to assist you with filing extensions whenever needed or working directly with the IRS in order to extend your payment timeframe.

Both of these are things you could do on your own. Entrepreneurs are already busy. Many entrepreneurs don't need to have another important responsibility in the middle tax season.

When possible, seek professional assistance.