Tax season is just around the corner! If you pass off your taxes to your tax preparer, whoever it may be, then you may not be aware of all the information your W-2 holds. Since this information pertains entirely to you, we encourage you to become familiar with the basics. Grab an old W-2 from past years (yes, you need to save these) to use as a reference. It may look intimidating, but everything is broken down very particularly and you’ll have a basic understanding of it by the time you’re finished.
Tax Season comes around every year, yet people still always scramble come mid-February when filing has taken way like they had no idea it was coming. This tax season, that won’t be you. Follow our simple steps for preparing to file taxes - what to do before you file for an easier experience while filing.
First and foremost, you’ll want to schedule an appointment with your tax preparer, whoever it may be. If you don’t have a tax preparer, reference our blog on how to find a reputable tax preparer you can trust. Once your appointment is scheduled, it’s time to turn to your important documents. This includes any documents that track your income, personal information, banking information, and records of any purchases.
New year, new rules on deductibles. Before you sit down to work on your taxes (or with your accountant), remember that some of the deductibles revolving around meals and entertainment have been UPDATED. We want to keep you up-to-date with the most recent information possible. Use the handy chart below to know what you can deduct and what’s not an option anymore.
You’ll notice that the majority of changes are with business trips or meals. Your good ‘ole office snacks and beverages are still 100 percent deductible. It’s important to be honest with your deductibles. Use them to your advantage, but use them honestly.
Business owners far and wide know there is one thing you try not to do: get the IRS involved. The best (and only) way to make this happen is to be careful and make sure you are doing everything correctly. We’ve compiled some activities that could be red flags to the IRS and could result in an audit. The best way to avoid an audit is to run your business in an honest and healthy manner.
Something as simple as consistently filing your taxes late can be a red flag and attract the IRS’s attention. This is easy to avoid. Making what seems to be an unreasonably high salary can draw attention to your business, as well. Whether the employee is also a shareholder of the company or if they are given a raise dramatically, it could very well result in an audit. To avoid this, before giving an employee a raise, check to see what the average is for that position in your industry.
Accountants wouldn’t benefit from QuickBooks, right? Wrong! QuickBooks is a fantastic tool for them; they have a software specifically tailored for accountants to help them do their job better, faster, and more efficiently. It’s a triple threat for accountants!
Not only will QB Online Accountant display all of your clients that are QB users, but also the clients that are not. This allows accountants to see a big picture list of their clients before diving into each more in-depth. All the client information and notes can be recorded here and easy to reach for reference. Bonus: it’s a breeze adding clients - even non-QuickBooks clients!
Running a business is a challenge. Keeping up with your books is one moving part of running a business. This can either go incredibly smoothly or be a complete disaster. If you’d prefer the former, we strongly recommend you check out QuickBooks. Not only will QB make your bookkeeping easier, it’s also a great tool for helping you run your business. Here are several reasons why QB should be your bookkeeping software:
There’s so many “what not to do’s” with your money that sometimes you’re not really sure what to do with it at all! Part of running a business is being able to control where your cash goes and how it’s being used. Being proactive and preparing for the future is the best course of action when it comes to running a business. Don’t let surprise expenses stress you out. Instead, beat them to the punch.
The Olympics are well under way and so is tax season! Have you ever wondered what the Olympics and accounting have in common? If we’re being honest, probably not. But, lucky for you, we’re here to show you how the two are related.
If you want to win the gold in curling, you have to win the gold in your accounting, as well. If you are an ice skater, that is your job, so your skate are tax deductible! Same with every other professional sport, as well.
Tax season is approaching, which for some may mean stress and anxiety. What if we told you those feelings aren’t necessary? Take a deep breath and rest easy knowing that these tips will help you make your tax preparation smooth sailing.
As tax season rolls around, it’s important to know your options and to choose what’s best for you. This includes whether to have a Certified Public Accountant (CPA) do your taxes or TurboTax.
For a little background, TurboTax is an American tax preparation software. It’s the #1 best-selling tax preparation software, which means it must be the best choice for everyone, right? As a matter of fact, if you have opened a small business or own one, hiring a CPA during tax season is the way to go, not a software program.