Posted on November 15, 2020
How to face tax season as a new business owner?
Are you just starting out with your business? In this early phase of it, all the things you have to manage may seem overwhelming. It is essential that you remain on top of every aspect of running a business and continually find opportunities for growth if you wish to see any success at all.
As tax season comes up, a feeling of dread may be swamping you at the formidable task of filing taxes and returns while navigating complicated legislation. This article has been written to try and alleviate some of the incredible pressures of running a new business.
Here are some tips that can lighten the load of handling taxation:
- Maintain consistently precise bookkeeping from day one
The best way to prevent any stress of tax season is to ensure effective bookkeeping all round the year. There is a plethora of accounting software like Xero, QuickBooks and CashFlow that consolidates all the processes of bookkeeping in one application.
You can record expenses, income and sales, create and send invoices, and manage inventory all in one, so that your returns are maximized and penalties for errors are avoided.
- Don’t miss even a single business expense
Make sure not to miss any claimable business expense that may help you save on tax deductions.
- Keep your personal and business accounts separate
Create a separate bank account and card for your business, maintain separate receipts for personal and business expenses and pay yourself a fixed salary every month from your business account.
- Consult a tax accountant
A professional tax accountant can advise and guide you through the entire process.
If your business is located in and around Toongabbie, this tax accountant in Toongabbie can help you out. Get the job done with experienced professionals!