BBQs, lazy afternoons and weekend getaways, it must be summer! Oh, if only these days,…
5 Tips for Keeping Small Business Taxes Straight as an Arrow
Every small business owner in the U.S. pays taxes, though amounts do vary. At Focus Marketing & PR, we’ve got a trove of small business tax experience under our belts. In this blog, we’re sharing our small business knowledge. You can thank us after the deed is done.
Tax Tips for Small Businesses
- Separate personal and business finances. Do yourself a favor and keep bank accounts for business and personal transactions separate; this small action makes tax time easier. Not only will you have clean, accurate records for the expenses you’re writing off, but your personal transactions are kept private, too.
- Keep accurate records. Pull bank statements to reconcile income and expenses with receipts or invoices. Or! Use an accounting software that does it for you; platforms include: QuickBooks, Xero, and Sage. These tools can be integrated with ecommerce stores – saving you time, reducing errors and automatically creating reports to help make sense of all your business finances. And psssttttt…those credit card rewards you’ve accrued through credit card-use, they’re considered profit and SHOULD be listed as income.
- Understand eligible tax deductions. Lower profitability means less tax. Reduce your business’ profits by claiming related items as an expense. Allowable expenses include: marketing, payroll, utilities, commercial lease and home office deduction.
- Contribute to your retirement account. Prepare for the much-deserved days ahead, and get a legal tax break while you’re at it by contributing a portion of the business’ profits to your own 401(k). Any amount’ll do.
- Prepare for tax season in advance. Get your ducks in a row before tax time, so you can meet – or even beat – deadlines ahead. This is far better than any sort of scrambling to reconcile a bank statement issued months ago.
So, while you’re focused on impeding tax deadlines and such, let Focus Marketing & PR make your marketing and public relations our priority. We always offer complimentary consultations to ensure the fit is right. Contact us at [email protected], or by dialing 303-949-1876.
About Focus Marketing & PR
Focus Marketing & PR is a Colorado-based boutique marketing firm specializing in arming small and medium-sized businesses of any industry with tools to navigate the constantly changing digital world. Give us a call today to discuss your marketing and PR needs; we always offer free consultations. Contact Focus Marketing & PR.