For business owners, tax season can be a stressful time – especially with quarterly taxes also weighing on your mind. But it doesn’t have to be! With proper preparation and professional bookkeeping service appointments, you can make tax season a breeze and actually work in your favor. Get ahead of tax season with early organization and avoid all the last-minute stress that leads to mistakes. Follow along as the experts at All About Businesses provide you with everything you need to do to survive 2025’s tax seasons!
Gather Your Financial Documents
The first step of every tax filing is to gather your essential documents, including W-2s, 1099s, receipts, bank statements, and other industry-specific documentation you may need. Be sure to also track your expenses, deductible or not, for both your Profit & Loss Statement and tax preparation. Consider using digital tools or working with a dedicated bookkeeper to help organize your information.
Understand Key Tax Deadlines
One of the most important aspects of tax season is knowing and understanding key tax deadlines. By knowing the important deadlines, you can plan to prepare and file with ample time to avoid errors and stress. In addition to the annual tax day in April, businesses are also subject to quarterly estimated tax filings to more accurately account for earnings and changes. The due dates vary for some industries, but 2025’s estimated tax payments are due April 15th, June 15th, September 15th, and January 15th of 2026. Mark your calendar and avoid the last-minute rush!
Maximize Deductions and Credits
Deductions and credits are often grouped together because both can reduce the amount of tax you owe, but differ in key ways. A tax credit provides a dollar-for-dollar reduction in the amount of tax you owe, while a tax deduction reduces your taxable income, resulting in a lower overall tax bill. Some common business deductions to be aware of include home office expenses, vehicle and travel expenses, equipment purchases, and more. Certain businesses and industries also receive tax credits for eligible work or investments. Consult a tax professional to make sure you’re not leaving money on the table by overlooking opportunities to save on your taxes.
Study Up on Your Local Tax Regulations
In addition to federal taxes, each business is required to pay state and local taxes. Knowing the differences and required materials will help you prepare and feel more confident in your tax filings. In addition to resources like the IRS’s Tax Guide for Small Business, take advantage of the following resources:
- Oregon’s Office of Small Business Assistance
- Oregon’s 2024 Corporation Excise and Income Tax Credits
- Portland’s Business Tax Filing and Payment Information
- Washington’s Business Tax Basics & Industry Specific Guides
- Washington’s Tax Credit Information
- Seattle’s Business Taxes Information
Though knowing the ins and outs of your taxation requirements is important, it can also be overwhelming and keep you from focusing on your business. Working with a tax professional or bookkeeper who specializes in your area can help you navigate all the differences between federal, state, county, and municipality regulations with ease!
Decide How You’ll File
Filing our taxes online has become the norm, but that doesn’t mean there aren’t choices to make! Several DIY tax software options exist, but the potential for errors is significant. To make sure nothing is overlooked or miscalculated, consider hiring a professional to optimize your filings and take the stress off your shoulders. Qualified bookkeeping or accounting service professionals have extensive knowledge and experience across various industries, allowing them to know precisely what to look for and how to maximize your tax benefits.
Avoid Common Tax Mistakes
Filing your taxes can come with various unexpected mistakes, but knowing them ahead of time can help you avoid making them. Common errors include math mistakes, incorrect Social Security Numbers or Employer Identification Numbers, and missing signatures. Be sure to double-check your work before finalizing or submitting your tax return! Additionally, it’s wise to avoid actions that can raise red flags with the IRS, which may lead to an audit. Examples of these red flags include failing to report all of your income, claiming excessive business tax deductions, and mixing business and personal expenses.
Trust The Experts at All About Businesses!
Taxes are a fact of life for businesses, but tax season doesn’t have to be overwhelming. Proactive organization and good record keeping will save you time, stress, and money! Tax preparation is key whether you’re handling taxes yourself or seeking professional help. By following our guide, you can file with confidence. If you want expert guidance and tax preparation, contact All About Businesses for the accounting and bookkeeping service options you need to make this tax season and every future filing smooth and hassle-free!
