Nine Tips for Surviving the 2016 Tax SeasonWhile the busy season is often frightening to many business owners, there are numerous ways you can ensure that you will survive and even thrive as the deadline bestows upon us. As you begin preparing for this busy time, there are a few essential tips and revelations that can make the process a smooth one.
1. Know Your DeadlinesAs Tax Day sneaks up on us, most taxpayers believe that this is the hard deadline date for all taxes to be paid in full. This is when tax season trickery can be hard to decipher. Self-employed individuals are required to pay quarterly taxes including Social Security, Medicare, and Income Tax. If these are not paid on time, it could mean more monetary fees in the future.
2. Get an Early StartWhen it comes to completing your taxes, procrastination can be your worst enemy. Get a jump start on your taxes by gathering your documents as early as the end of January. This action will provide you with more than enough time to meet the IRS tax deadline. You will also eliminate the sleepless nights that are associated with unfinished taxes.
3. Set Up a Tax ScheduleThe tax planning process is rarely straightforward. Most people find that the process can be a drawn out. Planning a schedule just as one would a project could be especially useful in keeping the preparation process on track. Here is a good example of a possible tax schedule for 2016.
- January 28 – February 5 – Gather your tax documents.
- February 7 – 10 – Categorize the documents and put them in order.
- February 15 – Take your documents to your Las Vegas Business CPA.
4. Organize Your DocumentsThere are approximately 4 months between the New Year and the deadline for your taxes. This is plenty of time to gather all of the pertinent documentation to provide to your Las Vegas Certified Public Business Account (CPA).The easiest way to prepare for your personal and business taxes is to keep all of your information in one location. Separating your expense reports, receipts, proof of income, donations, and any other pertinent information within the same area will help keep it organized throughout the year. It is also a good practice to keep these documents filed and stored away for years to come in the unfortunate event that you are audited by the IRS.Documentation that your CPA will need from you are:
- Financial statements that detail cash flow, balance sheet, and income
- Vehicle log
- Capital asset activity