Filing your small business’s taxes can be a time-consuming, frustrating experience. Although the federal tax deadline is rapidly approaching, it’s never too late to overhaul your approach to tax time. Staying organized throughout the year ensures that your tax preparer will have everything they need to file on your behalf.
Here are five ways you can ensure your business is tax-compliant, all year long:
1. Know your deadlines: Depending on your business structure, you may have a different tax deadline than the rest of the country. For instance, partnerships and S corporations must file by March 15, 2022, while sole proprietors and C corporations have until April 18, 2022. If you’re obligated to pay quarterly taxes, make sure you mark those dates at the beginning of the year. Don’t let tax deadlines sneak up on you, or you may need to pay penalties.
2. Find an excellent tax preparer: Finding the right tax preparation service makes a big difference. Look for a tax preparer who has experience working with similarly-sized and structured small businesses. At MCG Solutions, we offer streamlined tax services for individuals and corporations. Instead of spending your own time working through the complicated tax codes, our team can do the heavy lifting for you. We also provide bookkeeping and payroll services, so year-round tax compliance is a breeze.
3. Gather your business information: Before-tax preparation can begin, you’ll need to gather your business information and records. For example, you’ll need your company name, Employer Identification Number (EIN), and a list of each state in which you do business. You’ll need to know where your company is registered, employs people, conducts sales, or owns the property. Don’t forget your bookkeeping, payroll, and receipts.
4. Plan ahead: The best way to eliminate tax-time stress and stay compliant is to plan ahead. Working with reputable bookkeeping, payroll, and tax preparation firm ensures that your records will be in good shape. Plus, your bookkeeper will remind you about important tax deadlines, so you’ll always be ready to file. Planning ahead will also make sure that your tax preparation service is available to help—available slots fill up quickly.
5. Keep a rainy day fund: Finally, make sure that you have easily accessible cash on hand. Even the most prepared business owners can find themselves liable for unexpected penalties, fees, or a higher-than-normal tax bill. Having a rainy day fund available ensures that your business won’t suffer when surprises occur.
When you need tax assistance, MCG Solutions can help. We work with a variety of small business sizes and structures. Our firm takes pride in finding advantageous tax solutions. From deductions to credits, we’ll use our expertise to reduce your tax liability as much as possible. Don’t let tax deadlines catch you by surprise—follow the tips above to stay compliant throughout the year.
For more information about our tax preparation services, call MCG Solutions today. We look forward to easing your tax time stress.