Monday, 24 February 2020

Get Smart While Tax Preparation

Everyone who is working around tax preparation services in San Antonio knows that the first quarter of the year is the time when the tax season preparation typically heats up for all businesses out there. It’s a time when there is paperwork that needs to be organized. It has the goal of creating a return. This needs to be accurate and shouldn’t hold any financial surprises for the company.

tax preparation services in San Antonio

If you get smart and plan early, then the business will be able to stay on top of the paperwork. In this blog, you will find many key initiatives that are worth taking now, so that your business is on top of the tax game. and has the latest information.

Have a look at the following:

1. Organizing tax paperwork
Providers of tax preparation services in San Antonio believe that the process of planning really heats up in January. This is when the companies begin to send out and receive essential tax documents. So, in case you have a small organization, it's important to get a head start. This will avoid a last-minute rush. When you connect with your tax professional, it will help you to get a handle on categorizing documentation.

2. Filing the taxes
It’s great how you can now begin working on your returns, at the earliest that you'd like. Therefore, it doesn’t matter whether you are doing it yourself with tax software or partnering with a tax preparer and using their tax preparation services in San Antonio. However, your return won't be reviewed and processed will the IRS until the official start date.

3. Requirements of the tax preparer
When you decide to work with a tax preparer, you need to understand that they will be needing some key documentation. For starters, they will need proof of your identity. If the case is that they are preparing taxes, on behalf of the business that you own, you will be required to give your Employer Identification Number. This is also known as a tax ID.

The preparer would also try to understand your finances. This would include income from gross receipts from services or sales, returns, sales records, other income, and business bank account interest. It would also include the cost of goods that were sold, including inventory, the ending dollar amount of inventory, the total dollar amount of beginning inventory, items that were removed for personal reasons, and needed materials as well as supplies. A tax preparer also needs your business expenses. These would be the ones that could qualify you for deductions. It would also include credits that reduce the overall tax liability.

Apart from these three important tips on getting smart about preparing your taxes, there are some more like understanding qualified credits as well as deductions, taking advantage of the new tax laws, keeping up with your home state's tax issues, itemizing business expenses, calculating projected payroll taxes, considering an extension, etc.

To know more about such topics, and to get efficient tax preparation services in San Antonio, get in touch with Uhlenbrock CPA at 210-701-1040.

Wednesday, 5 February 2020

Are You a Beginner at Bookkeeping?

Hey there, are you new to the world of bookkeeping? When you are diving into the pool of accounting in North San Antonio, you are bound to come across the term and the process of bookkeeping! So, isn’t it better to explore the subject than to be intimidated by it?

accounting in North San Antonio

Let’s explore bookkeeping for beginners!

Single or double-entry bookkeeping?
When you think about single-entry bookkeeping, think of it like keeping your check register. It’s all about recording transactions as the bills are being paid, and making deposits into the company account. Usually, it only works if we have a small company at hand, which has a low volume of transactions.

In other scenarios, where the company is of any complexity as well as size, you should set up a double-entry bookkeeping system. This is where at least two entries are made for each and every transaction. Credit is made to another accounting after a debit is made to one account. This becomes the key to double-entry accounting.

Using cash or accrual accounting?
Whether or not should one be using a cash or accrual accounting system would be one of the first decisions that one would have to make when setting up the bookkeeping system. If you are looking at accounting in North San Antonio for operating a small business from home or even if it is a larger consulting practice coming from a single-person office, it’s better to go with cash accounting. Using cash accounting would mean recording your transactions when the cash changes hands. When using accrual accounting, you would be recording purchases or sales immediately. This would be the case even if the cash doesn't change hands.

A better look at assets, liabilities, and equity
One thing to remember before anyone sets up their bookkeeping system is that they have to understand the firm's basic accounts. This includes the assets, the liabilities, as well as the equity. Assets refer to those things that the company owns. This includes the company’s inventory as well as accounts receivables. On the other hand, the liabilities refer to those things that the company owes. This includes what they owe to their accounts payable or suppliers, business and bank loans, mortgages, as well as any other debt on their books. Lastly, equity refers to the ownership that a business owner, as well as any investors, have in the firm.

There is a lot more to know about bookkeeping services San Antonio, but these basics will help in giving you a good direction!