January is over and it’s official, our clients that worked with us throughout the year don’t have to worry about their taxes anymore. Their books are done and have been sent off to their CPA. Their refunds are being calculated right now while they’re busy thinking about other things. If you’re only now starting to look at your books and think about your tax return, you could be missing out on some serious benefits.
Here are four things you’ll get if your books are already done this season:
1. Get more attention from your CPA
When tax season really gets going, a lot of CPAs get busy. That means they don’t have the time or attention to really dig into your books. What does that mean for you? You could be missing a key opportunity to have a conversation with your CPA about the kind of deductions you’re looking for. Do you want to be more aggressive? Do you need help calculating your home office deductions? Or are you concerned you’re using the wrong business structure? When your CPA has time to thoroughly go through your taxes they could find areas where you’re missing key deductions. Like for your office supplies, travel costs when visiting clients or even your business phone or internet usage. With more time to devote to you, your CPA will ensure that your taxes are in order and your deductions are on point.
2. Get your refund sooner
We all know that cash flow is key for any business. Your tax refund can be a great infusion of cash after the holidays when you may need it most. The sooner your taxes are completed and sent off, the sooner you’ll get your money back. Getting a chunk of cash back is perfect if you need to invest in equipment, top up your inventory, or even just to keep your bank account flush. For those that are closed or slow over the holidays, a little extra money in the bank can keep your mind at ease so you can enjoy your time off.
3. Get back to working on your business
Many people will be burning the midnight oil while they search for receipts or try and balance months of unreconciled transactions. Instead of spending time thinking of new growth strategies, coming up with their next marketing plans, or responding to customer inquiries, they’re instead worried about their books. Tax time doesn’t have to take time away from your business. If your bookkeeper has been keeping up on your books, and they’re completely up to date and ready to be sent to your CPA in January, you don’t need to skip a beat in your business. Get right back to the day-to-day of running things rather than stressing about taxes.
4. Address issues as they come up throughout the year rather than in April
Sometimes things happen in a business. If there are any red flags when it comes to your taxes, a good bookkeeper should be able to address them right when they come up. That means no major surprises come April 15th (or April 18th this year). This includes if you end up having to owe money. If you know well in advance, your business doesn’t have to take a major hit when it comes time to pay the government. Understanding where your books stand can help you make key decisions that can change your tax bill, such as knowing when to make big purchases to maximize deductions or if you need to curb your pre-revenue spending to ensure you can claim your money back.
It’s not too late to ensure you’re stress free come April, and every April thereafter. Get a free consultation today and we can tackle your books, no matter what state they’re in. We’ll even file an extension if we need to devote extra time to getting your books in order. That way you can sit back, relax and wait for your refund to come in. Not only that, we’ll keep your books in order all year. That way next year you’ll only notice it’s tax season when you’re cashing your check.