Tax preparation season is always stressful, especially for business owners who have to manage a complex and ever-changing code. Having an accountant handle your taxes minimizes the burden, especially if you’re prepared for your first meeting. Below are a few tasks you should complete before talking to your accountant about your taxes.

What to Do Before Meeting Your Accountant

1. Collect Your Documentation

Being able to give your accountant all the documentation they need in advance will prevent last-minute confusion that could cause delays. Collect your profit-loss statements, revenue statements, and your balance sheets, as well as 1099 forms you’ve received from any clients.

2. Compile Payroll Information

If you have employees, you’ve likely been making payroll tax payments every month. Gather your payroll tax statements and prepare a report showing your overall payroll expenditures. This may sound complex, but many accounting programs will generate these reports at the push of a button.

3. Calculate Estimated Tax Payments

Along with payroll taxes, most business owners are required to pay estimated income taxes on a quarterly basis. If your calculations were correct, you may not have to pay anything when you file your returns. Collect records showing how much you’ve paid in federal taxes, as well as state income or sales taxes.

4. Gather Expense Details

Many common business expenses and purchases are deductible, so accurate records can cut thousands of dollars from your tax bill. Before starting your tax preparation, gather receipts and invoices for any qualifying business purchases. This may include advertising expenses, material costs, rental fees, and any other expenditures that are considered normal and necessary for your industry.

For over 30 years, Simplified Tax Inc has been making tax preparation easy and stress-free for business owners throughout Sparta, WI. Their accountants have the expertise to minimize your tax burden and ensure your returns are filed accurately and on time. Visit their website for more on their tax preparation services, or call (608) 269-2633 to make an appointment today.