Any business is bound to face ups and downs for the first year and need to learn easy tax preparation with QuickBooks Payroll Support within the business cycle. The entrepreneur has to consider the taxes. So, regardless of situation, here are some tips you need to follow as you prepare yourself in filing the first tax return. Contact the QuickBooks Payroll Support squad to know how to use the bookkeeping software depending on the requirements.
Know What You Are Entitled For
If you have been running a small-scale business, then it’s important to know the tax breaks and what you are entitled for. This would actually assist with certain deductions as per the Law. Here’s a list of deductions you can surely obtain.
Start-up costs –When you are setting up the business, you have to pay for the start-up costs. This may in include equipment or systems to be set up across the network. Usually, you need to deduct the total amount by one-fifth every year. In such a scenario, a time span of five years is always considered.
Health Insurance – According to the section 80D of the Income Tax Act, you are entitled to deduct some money on health insurance premiums. As you claim the deduction, the premium should not only be for yourself but also for your spouse and children.
Home-office setup – If you plan to set up the workplace at your home, then you can subtract utility bills and property taxes from the revenue. Most of the time, a house can help you accommodate a staff comprising of 5 individuals. If you have recruited your friends, then the tax exemption would be only on how much you pay every year.
Keep a Track of the Necessary Documents
As the year passes by, documents like receipts, invoices, cancelled checks, and deposit slips should organized in the file. In case you don’t want to clutter the space, then it’s better to use a document management system or accounting software like QuickBooks. Once you make sure that you have maintained the files properly, you would be assuring the government of the way in which you are managing the business. If you can’t spend much for the software, then it’s better to scan the documents and store it on the hard drive.
Speak with the CPA
It’s always a good practice to seek professional help for filing the returns. Apart from helping you to exploit legal tax loopholes, the CPA would ensure that you haven’t missed any important documents. As the audit is conducted, he would also check if the money has been reinvested or rerouted somewhere else.
Plan Well to Pay the Taxes
As the tax season approaches, you can think about paying tax online through the self-service options offered by the accounting software. You can assign the job to an employee and explain him how he should practice thesoftware. For any queries related to the software, you should contact the technical support team by dialing the QuickBooks Technical Support Number, 1-800-593-0163.
Finally, you shouldn’t forget to fill forms and register for an EVC. If your business is registered under your name as the proprietor, then you have to fill out the ITR 4 form. Even if you don’t have an EVC, you still have to file the ITR 5 for verifying the returns.