Let Boxelder Bookkeeping Handle Your Tax Preparation
Keeping good books is essential to proper tax preparation. The issue is simple: your tax preparer cannot do your taxes properly unless you have well-kept books that accurately detail the financial activity of your company.
Your tax preparer needs to have accurate balance sheets, bank records, and other documents in order to property prepare your return. If your books are inaccurate, this could end up costing you a lot more down the line when it comes time to submit your information for tax purposes.
In most cases, start-up businesses do their bookkeeping in-house, or they engage a professional bookkeeper in a minimal capacity. Although doing your books in-house may save money in the short-term, in the long run this practice can begin to hurt your business.
For one thing, as your business expands, your books will become more and more complex, and this means more time is needed to ensure that your books are kept accurate. If you spend time balancing your books, this translates into less time available to further grow your company. At some point, a simple cost-benefit analysis will tell you that passing your books over to a professional is the most effective course of action.
At Boxelder Bookkeeping, we take a simple and effective three-step approach to tax prep:
- Update Your Books – As we’ve covered, getting your books current and accurate is a crucial initial step in any tax prep. The good news is that this is what we do. Let us get your books up-to-date for you, and you’ll be on your first step toward an easier tax season.
- Prepare Your Taxes – When setting up your account, we will request a few documents to ensure we have everything we need. Then, come tax season, we’ll be able to get right to work on your return, communicating closely with our integrated accounting and business consulting departments to ensure we’re reducing your tax bill to the best of our ability.
- File – Once your return is good to go, we’ll reach out to you for the all clear. Then, we’ll file your taxes and pull funds directly from your account to pay any applicable taxes. With everything taken care of, you can breathe a little easier as tax season approaches.
Tax Advising is Essential for Business Growth
Tax advising is also essential for growing and expanding your business. However, if you don’t keep good books that your tax professional can access regularly, there’s not a whole lot they can do for you. Business owners should communicate frequently with their tax professional during the year, regardless of whether they do their own books or hire a bookkeeper.
If your tax professional has access to your books, they will be able to give you the sort of advice necessary to make critical financial decisions. Here are just a few things your tax professional can advise on throughout the year:
- Savings and incentives plans
- How much to spend on business assets
- Tax implications of buying depreciable equipment
- Reasonable compensation / salary for owners
- Much more
Professional Bookkeepers, On Your Team
Again, your tax professional will be able to provide better advice if they have regular access to your books. Fortunately, at Boxelder Consulting, they’ll be right down the hall from each other. Our team of experts can assist in both of these areas which are critical for growth. Reach out today to learn more.