Tax season. Just reading that phrase can make even the most organized business owner want to grab
another cup of coffee (or maybe something stronger). But here’s the good news: getting ready for tax
season doesn’t have to be a mad scramble of receipts, missed deductions, and sleepless nights.
With a little prep work and the right checklist, you can turn tax season from a stressful sprint into a
smooth jog. Let’s break it down, step by step.
- Gather Your Financial Records
Think of this as spring cleaning, but for your business finances. You’ll need:
- Income records (invoices, sales receipts, 1099s if you’re a contractor)
- Expense records (everything from office supplies to that laptop you bought)
- Bank and credit card statements
- Payroll records if you’ve got employees
Pro tip: If you’ve been using accounting software like QuickBooks or Xero, most of this is already
neatly organized for you. If not, now’s the time to get those spreadsheets in order.
- Double-Check Your Deductions
Don’t leave money on the table! Common small business deductions include:
- Home office expenses (yes, even your Wi-Fi counts if you work from home)
- Business travel and meals
- Software and subscriptions
- Vehicle mileage used for business
Not sure if something counts? Ask yourself: “Was this expense necessary and directly related to
running my business?” If the answer’s yes, it’s probably deductible
- Reconcile Your Accounts
This is where you make sure your books match your bank accounts. Reconciling helps catch errors
like double charges, missing payments, or forgotten expenses. It’s not glamorous, but it’s a lifesaver
when the IRS comes knocking. - Get Those 1099s and W-2s Sorted
If you hired contractors, you’ll likely need to send out Form 1099-NEC. Got employees? They’ll need
their W-2s. Deadlines creep up fast, so don’t wait until the last minute. - Set Aside Money for Taxes
If you’ve been paying quarterly estimated taxes, give yourself a high five, you’re ahead of the game. If
not, make sure you’ve got cash set aside to cover what you owe. Nothing kills momentum like a
surprise tax bill. - Talk to Your Accountant (a.k.a. Your Tax Season Lifesaver)
This is where having a trusted accountant or tax pro really pays off. They’ll make sure you’re not
missing deductions, filing the right forms, and staying compliant with IRS rules. Plus, they can help
you plan for next year, so tax season feels less… tax-ing. - Stay Organized Year-Round
The best way to survive tax season? Don’t treat it like a once-a-year emergency. Keep your records
updated monthly, use accounting software, and file documents where you can actually find them
later (no more shoebox full of receipts!).
Final Thoughts
Tax season doesn’t have to feel like a dreaded annual chore. With the right checklist and a little
planning, you can walk into April feeling confident instead of overwhelmed.
And hey, if you’d rather spend your time growing your business (instead of crunching numbers at
midnight), that’s exactly what we’re here for.
Ready to make this tax season stress-free. Contact us and let’s get your business finances in order.