Tax season may be over, but we both know that quarterly taxes and the next tax season isn’t too far away. If you barely survived this tax season, or even if you lived through it, there are a few things you may want to know for the future. I have created a list of accounting tips to help you thrive during next tax season. But only if you take the time to implement them now.
Accounting Tips to Know Post Tax Season
1. Always Keep Track of Your Receipts
Scrambling during the month of March to find all of your business receipts for the previous year should never be at the top of your list of things to do! It is better to keep track of all of your receipts throughout the year, so you know where they are when tax season arrives. There are multiple ways you can track your receipts. The simplest method is filing them by month in an accordion file. You can also take pictures of the receipts and store them in a receipt app or on your computer.
2. Update Your Calendar with the Quarterly Tax Dates for the Next Year
As a business owner, the last thing you want to do is forget to pay your quarterly taxes. The fees simply aren’t worth it. So, take the time now to update your calendar with the quarterly tax dates for this next year. To help you out a little, the dates for 2022 are as follows:
Quarter 1: April 18, 2022
Quarter 2: June 15, 2022
Quarter 3: September 15, 2022
Quarter 4: January 17, 2023
3. Incorporate Technology
If you are still using spreadsheets to keep track of your business’s expenses and income, it may be time to start using Quickbooks or another accounting software. Yes, there will be a learning curve to start using the software, but the time you will save during tax season will be worth it. Other forms of technology you can start using include the receipt apps I mentioned above.
4. Automate Tasks
Another way to utilize technology in your business is to automate certain tasks. When you automate your invoices, you are guaranteed they are being sent out on time instead of them sitting there waiting for you to do them each month. And when those invoices are sent out on time, they can be paid much sooner. This means more money in your business account and less waiting for money that hasn’t been billed for yet.
5. Keep Up to Date with New Business Tax Changes
Every year, there are new business tax changes that will affect your taxes for the following year. It is important that you keep up with the changes as best as you can, because it can mean paying much less on your business tax bill.
6. Consider How to Utilize a Tax Refund
Not every business gets a tax refund each year, but if yours is, you will want to consider how to utilize it carefully. Your business will most likely have numerous options, but you must choose the one that will be beneficial to the future of the business.
7. Consider Outsourcing Your Accounting
Tax season can be brutal, even if you are organized. You may want to consider outsourcing your accounting to avoid stress in the future. An accountant can keep your books up to date and deal with all of the tax changes that occur throughout the year. The best part is they can file your quarterly taxes and yearly taxes, so you can focus on other areas of your business.
These accounting tips should help you be prepared when the next tax season comes around. Although, as helpful as they can be, outsourcing your accounting might be the best solution that you need to hear right now. To schedule a consultation to see how we can help you, contact me today.