Successful Tax Day Checklist for Small Businesses

Doing your taxes can be a long and stressful process, but being prepared and organized will ensure you have the important information, keeping Tax Day simple.

1. Personal Information

• Your full name as stated on your Social Security card
• Date of birth
• Social Security number
• Business address
• Federal Employer Identification Number (EIN)
• Bank account number and routing number to receive your refund by direct deposit

2. Select the Correct Tax Form According to your Business Structure

Sole Proprietor

• 1040, U.S. Individual Income Tax Return
• Schedule C (Form 1040), Profit or Loss from Business
• or Schedule C-EZ (Form 1040), Net Profit from Business

Partnership

• 1065, U.S. Return of Partnership Income

C-Corporation

• 1120, U.S. Corporation Income Tax Return

S-Corporation

• 1120S
• 1120S Sch. K-1

LLC LLCs can be taxed as a partnership, corporation, or sole proprietorship

• If the LLC is classified as a partnership you will use a 1065, U.S. Return of Partnership Income
• If the LLC is classified as part of the business owner’s own tax return you will use a 1040, U.S. Individual Income Tax Return
• And if the LLC is classified as a corporation you will use a 1120, U.S. Corporation Income Tax Return

3. Financial Reports for the Year

• Balance Sheet
• Profit & Loss Statement
• Income Report
• Expense Report
• Inventory Valuation
• Total Cost Of Goods (COGS)
• Sales Tax Summary
• Payroll Summary
• Mileage Log
• Asset Depreciation Log

4. Find out your Business Tax Deductions

Your Accountant can help you keep score of your deductions that can reduce your taxable income. It is important to familiarize yourself with these deductions and keep track of these expenses throughout the year. Some deductions include:

• Office supplies
• Business-related software
• Employee Expenses
• Insurance
• Travel Expenses

Sources

Rocket Lawyer; Tax Prep Checklist: What You’ll Need for Small Business Tax Filing

Merchant Maverik; THE ULTIMATE SMALL BUSINESS TAX CHECKLIST