As a certified public accountant (CPA) for small businesses in Jacksonville, FL, our team at George A. Spencer CPA is frequently asked what our clients should do throughout the year to make business taxes easier. The truth is, there’s no silver bullet when it comes to taxes, but there are several things you can do to simplify the process and potentially save some money.
4 Things to Do Throughout the Year to Make Your Business's Taxes Easier
Good Recordkeeping Habits
First, establish good record-keeping habits. Keeping detailed and accurate records throughout the year is essential for filing accurate business tax returns. That means having an organized system for tracking income and expenses, invoices, receipts, and any other documents related to your business. This will help you know exactly what you’re eligible to deduct, as well as make preparing your taxes easier when the time comes.
Stay Familiar With Tax Laws
Second, stay up to date on changes to the tax laws. The Internal Revenue Service (IRS) regularly updates the tax code, so it’s important to stay on top of any changes that might affect your business. This will help you take advantage of any tax breaks or deductions that you’re eligible for, as well as avoid any potential penalties or fines.
Make Tax Payments Throughout the Year
Third, make estimated tax payments throughout the year. If you expect to owe taxes when you file your return, it’s a good idea to make estimated payments throughout the year. Not only will this help you avoid any late fees or penalties, but it will also help you budget more accurately and plan accordingly.
Work With a Professional CPA
Finally, consider working with a tax professional like George A. Spencer. Working with a qualified tax professional can help you make sure you’re taking advantage of all the tax breaks and deductions you’re eligible for and can also help you with any questions you might have throughout the year.
By following these four tips, you can make filing business taxes easier and potentially save some money in the process. If you have any questions about business taxes or would like to discuss your specific situation, please don’t hesitate to reach out to George A. Spencer CPA today!