3 Tips To Taming Tax Season

Tax season is one of the most stressful times of the year for business owners. Sorting through receipts, invoices, and all of the other mounds of paperwork can be a daunting task. However, taming this beast of burden is possible by just doing a few simple things throughout the year that will organize your records and ensure that you are prepared when it's time to see the tax office. Here are 3 tips that will help you tame the tax season:

1) Keep A Record Of Everything!

There are very few things that are more important for the health of your business than maintaining accurate records. Creating a bookkeeping system in Excel is an excellent way to keep track of any tax deductions, profit and loss statements, and all of your everyday business expenses. If you are not the real technical type person, there are products such as QuickBooks or Quicken that are automated and very easy to use, or you can go the route of hiring a CPA. Regardless of which method you choose, it is very important to maintain accurate records of your business, and keep them of file for at least 7 years, and in the long run will make tax season much easier on you.

2) Keep Your Personal Accounts Separate From Business Accounts!

Often times in the early forming of a business, business owners will still be using their personal bank accounts and credit cards to pay for business expenses. In the long run, doing this can have a negative effect on your business, such as the time wasted combing through two different accounts to find important information that you need to file your taxes, You can also save money by obtaining business credit cards that have rewards, and obtain business loans that have tax deductions, but these can only be obtained by having business accounts. In addition to these benefits, you can also build your business credit when you have business accounts. 

3) Educate Yourself On What Tax Deductions You Are Eligible For!

A thorough review of the IRS Employer Tax Guide will give you a good understanding of deductions that you may not be aware of. Most business owners are aware of the usual deductions like healthcare, travel, home offices, but miss out on many more deductions that are available to them by not being aware.  If reading through the Tax Guide is just not for you, maybe consulting a CPA is the way for you to obtain the information. In either case, it will save your business a lot of money in the long run. 

Speaking of tax deductions, your business may be in a place where you need some working capital to get the 2019 year started with a bang. A short term working capital loan may be just what you need, and will also create additional tax deductions for the 2020 tax season. At Small Business Capital US, we help business owners every day to obtain working capital that fits their needs, and works well in the budget. Give us a call at 800-681-0834, or just click the "Get Started" button below to obtain working capital within 72 hours. 

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