Tax time certainly isn’t the most exciting part of running your own small business. In fact, for most business owners, bookkeeping, in general, is a necessary evil. Keeping receipts, tracking expenses, and knowing tax law is probably NOT the thing that drives you.
But, it needs to be done. And it needs to be done well. If tax season is typically a stressor for you, a little planning and effort might help your tax return go smoothly – even this close to April 15th. Here are a few tips for you to consider.
Don’t fail to file. Find out exactly what paperwork you need to file for your specific type of business. Keep your receipts, invoices, bank statements and other documents organized in case you ever get audited. If you need to backtrack to find your documents and get caught up, do it now. Don’t wait another second!
Do consider hiring a good accountant. This might be our best piece of tax advice! A good accountant might become your most important advisor, and could even save you money in the long run. At this late date, you might be in a little bit of a crunch but consider these qualities in an accountant (as taken from the FedEx Small Business Center site):
- Choose someone who is responsive and timely. A good indication of their responsiveness? How quickly they return your call or email. You want to be on their priority list, not their back burner.
- Ask around for a personal referral. If a friend or family member endorses an accounting professional, odds are you’ll be in good hands.
- Look for someone with experience in your industry. Many accountants specialize in a particular field. If you own a business, choose an accounting professional who understands your work.
- Find one who’s right for you, personally. Like in picking a doctor or dentist, subjective preferences play a role. You’ll be forming a long-term relationship with this person, so if your communication skills clash, keep looking.