The first day of Fall officially starts tomorrow, and as the weather cools down and the days gradually become shorter, we’ll all be at the end of the year before long. It’s typical for small business owners to wait until December or January to review their financial situations for the upcoming tax season.
But why wait – why not get a jump start right now and have an easier time filing later? You could improve your tax situation or even find ways to reduce your tax bill. Here are a few tax tips you should think about this season.
Become More Organized
Don’t get caught this tax season having to backtrack and dig through old receipts and financial statements. Only you know how hectic your holiday season and end of the year gets. By taking the time you have now to get organized, you can have your paperwork and information quickly accessible when you need it most.
Got Money? Spend It!
Now, this isn’t a pass to go crazy on unnecessary shopping sprees, but to strategically max out your deductions on business expenses. Look for any equipment that needs an upgrade or business operations, like advertising, which you could invest more into – pay out vendors instead of waiting until next year. If you can do it now, then take the advantage.
Pile Your Deductions
Along with general business expenses, you can also include travel, home office, or even entertainment expenses to deduct from your tax bill. Keep a detailed account on any activities that are strictly related to conducting business – you can even add your company’s upcoming holiday party to the list.
Lower End of Year Revenue
While this may go against every rule of progressive growth, the goal is to keep your tax bill as low as you’re willing to make it. Check for any accounts receivable as early as November, and see if it’s possible to defer payments until after the new year. That way, taxes from the late income are excluded from your tax liability for the filing year.
Always check with your local tax professional about your financial situation before changing your tax preparation. If the tax season arrives, and you happen to need more filing time, then see us at ExpressExtension.com. You won’t even need a desktop computer – download our FREE mobile apps and quickly e-file extensions for large or small organizations from your favorite iOS or Android device.
Contact our excellent customer support team at our Rock Hill, South Carolina, headquarters. We’re available at 803.514.5155, Monday through Friday from 9 a.m. to 6 p.m. EST or email us at your convenience with [email protected].