Are you a small business owner with a desire to maximize your tax deductions? We understand how frustrating it can be to gather all the details necessary to complete your taxes. Taxes can be complicated and frustrating to manage for any small business owner. Not only is it time-consuming to stay on top of tracking expenses, but it can also be confusing to handle the ins and outs of filing quarterly taxes while learning about new tax regulations that could affect your annual return — and ultimately your business.
We can help! Shockley Bookkeeping helps hundreds of small businesses of all types and trades in and around Broken Arrow, Oklahoma with:
- Quarterly tax payments
- Preparing and filing annual tax returns
- Tax planning advice
- Tracking expenses and maintaining good records
- Reviewing tax deductions and credits you’re entitled to receive
- Business tax forms and other special filing needs
- Preparing and filing amended returns
How to prepare
Save receipts, organize, document details, and you will be well prepared for maximizing your tax deduction this tax season. Often, small business owners aren’t sure which expenses to track in order to receive the maximized tax deductions for their startup business. Here’s a Tax Guide to help, and a list of things to track so you will be prepared to receive the most deductions—even as a small business startup.
Home office
Your home office space which is used exclusively for business is a typical tax deduction for small businesses. The key to qualifying as a home office deduction is the fact that the room cannot be used for anything other than work. It can’t double as a spare bedroom or playroom for your children. The great thing about a home office deduction is that it allows you to deduct a percentage of your utilities, homeowner’s insurance, taxes, and mortgage or rent—so save those receipts, and you are well on your way to receiving well-earned tax deductions.
Telephone
If you utilize your cell phone for your small business, deduct the portion used for business purposes.
Travel expenses
While traveling for your small business, document the purpose of the business trip as well as the details of meals and incidental expenses.
Car expenses
Business mileage is deductible. Many choose the “standard mileage rate” deduction because it requires less record keeping throughout the year. Realize your actual expenses will likely get you a more substantial deduction. Document your odometer’s start and finish numbers for each business trip, the starting location, destination, and purpose of the business trip. Repairs, insurance, auto maintenance, and depreciation should also be documented for tax deductions.
Start-up expenses
If you are starting up your business or expanding your business, remember to deduct these hefty expenses during your first year of operation for your tax benefit.
Charitable donations
Document contributions of business property as well as financial contributions.
Furniture, equipment, and office supplies
Evaluate your business purchases and calculate if it is more beneficial to expense them out or depreciate them.
Interest
When you pay interest on business loans, you can deduct the interest you paid on your taxes.
Professional publications
These should be amortized over the period of time the subscription is in effect if the fees are prepaid.
Business software
Software fees should be amortized rather than expensed.
Internet
The internet services utilized for your small business are tax deductible.
Advertising
Multiple-year advertising contracts should be spread out over all the years the contract covers for tax purposes.
Social security and taxes
Set aside money for state taxes as well as federal income taxes. You don’t want to be caught unprepared when it’s time to pay quarterly taxes.
Continuing education
Training for your field of expertise is deductible on your taxes. What a great incentive to keep learning!
Make doing your taxes simple.
Shockley Bookkeeping’s scheduled tax payment services for your small business. Enjoy the peace that comes from no more missed deadlines or penalties. Your business will be in compliance with the latest state and federal tax payment laws.
The success of your business is our priority at Shockley Bookkeeping. Stop losing time and money, and don’t risk your business success with financial missteps. Instead, get a trusted, reliable bookkeeper like Shockley Bookkeeping, so you can do what you do best—grow your business.
We care about handling your small business taxes with precision and expertise. That way, you can relax and focus on growing your business, knowing your taxes are accurate. You’ll also avoid unpleasant surprises from the IRS. Contact Shockley Bookkeeping today at (918) 615-8380 for a free quote and consultation. We’ll save you time and money while we take the sting out of your business taxes.