Last Minute Tax Tips for Entrepreneurs & Business Owners
It's two weeks until tax day, and you haven't filed your taxes yet. Don't panic—you still have time! But it's important to remember that there are a few tips and tricks to help make the process easier, so you can get your taxes filed on time.
Here are some last-minute tax tips that will help you stay organized before filing your taxes.
Gather Your Documents
The first step to filing your taxes is making sure you have all the necessary documents. Depending on the type of business entity you have (S-Corp, LLC, sole proprietor, etc.), there may be different forms required by the IRS. Gather up any Bank Statements, invoices, receipts, 1099s, W2s, payroll summaries, etc., before you begin filling out your tax forms. This will help you make sure you don’t miss out on any deductions or credits that could save you money in the long run.
Track Your Expenses
Business owners often forget to keep track of their expenses throughout the year. Tracking these expenses is important because it helps to ensure that all income and expenses are accounted for when filing taxes. Keep an eye out for deductions such as those related to travel, meals, entertainment, office supplies, etc., which can add up quickly if they are tracked correctly throughout the year. Additionally, it’s important to remember that deducting more than what was actually spent could lead to an audit so make sure all deductions taken are accurate and well documented.
Take Advantage of Tax Credits
Tax credits are highly beneficial when it comes to reducing a business’s overall tax liability. There are many different kinds of credits available depending on the type of business owned and its activities during the tax year.
For example, there may be credits available for hiring new employees or purchasing energy-efficient equipment. Be sure to do some research into possible tax credits before filing your taxes so you don’t miss out on any opportunities for further savings!
Filing taxes can be stressful but with proper preparation, it doesn’t have to be! By gathering all necessary documents early on and tracking expenses throughout the year, business owners and entrepreneurs can better prepare themselves when it comes time to file their taxes in just a few weeks! Additionally taking advantage of potential tax credits can also help reduce overall tax liability; so be sure to do some research before filing your return this season! With these tips in mind, you should have no problem getting your taxes done on time without any stress or worry! Good luck!
Need help getting your finances under control for your small business? Be sure to grab your FREE Ultimate Business Accounting Checklist today to learn how to start tracking your income and expenses (and make tax time next year a lot easier for you)!