Preparing Your Business for Tax Season All Year Round
Stop the April panic. Implement these habits to make tax filing a non-event.
By Chris Paul · Freelancer
· 1 min read
Tax & Compliance
Tax season shouldn't be a surprise. It happens at the same time every year. Yet, panic ensues. The solution is "Continuous Accounting."
Monthly Reconciliation
Don't wait until year-end to categorize transactions. Close your books every month. Verify that your software's balance matches your bank statement. Catching a $500 discrepancy is easy after 30 days, impossible after 300.
Estimated Taxes
The IRS loves their money now. If you owe more than $1,000 in tax, you likely need to pay quarterly estimated taxes to avoid underpayment penalties.