Don’t let tax season get the better of you. With the right resources in your hands, paying taxes is the right way is easy. Those who run small businesses, are self-employed, or work out of home offices are often worried about paying taxes as there is the misconception that these sorts of businesses are more likely to be audited. The truth is, however, if you are careful to classify your purchases and deductions the same way the IRS does, you’re not going to run into any trouble. But how can you make sure you’re doing this correctly? Here are the top resources to make sure your small business is paying its taxes correctly.
The IRS – If you’ve ever been audited, you know that the first thing the auditor says is, “I’m here to help.” While it might not be true in that case, it is in this case. If you’re preemptive about your taxes, and start by researching what the IRS expects of small businesses, you’re less likely to have a problem down the road. They even have a page specifically tailored for small businesses and the self-employed. No matter what your question is, you can probably find the answer on that website. If not, feel free to give them a call and ask the question over the phone.
Accountants – If you’re lucky enough to have an accountant in the family, you can try to ask politely for his or her help. Just remember they do this for a job, so make sure you pay them. If you don’t have an accountant in the family, consider investing a little time and a consultation fee in meeting with one that specializes in small businesses and taxes. Not only can they help you establish a system that keeps your receipts and other information organized, they can make sure that you get all of the deductions you actually qualify for.
Tax Software – It’s already in every tech and office supply store—and for a good reason. The tax software developed by companies like H&R Block or Turbo Tax is designed to help small businesses pay their taxes correctly. And many even come along with guarantees that help you if they miss a deduction, you get less of a return than you expected, or you get audited. These types of software are a great way to go if your taxes are simple and if you plan on filing yourself.
Online tax articles– Don’t let paying taxes scare you. There are lots of resources online, like this Turbo Tax article, designed specifically to help you pay your taxes. The internet is teeming with free information that makes it easy to pay your taxes, or at the very least, to be prepared when you go meet with a tax specialist.