Based on my experience working with people who have a business or are self-employed, you're probably a tiny bit stressed. Although the first week of 2016 has really had only 3 actual business days, 2016 is starting to roll and produce some steam.
What does your 2015 look like?
The IRS starts accepting tax returns electronically on Tuesday, January 19th. But I know what you're thinking, "there's no way I will have all of my forms by then." And you're probably right. Most forms that you receive must be merely postmarked by January 31st. And then you have until April 15th. Well no. This year you have until April 18th!. Too much to explain why now, just take my word for it.
The question is "What does your 2015 look like?"
Well, simply put, do you have "Your Forms" for 2015 ready? If you have a business, the forms you need to have ready are...
My concern is that if you were set up properly for 2015, you should be well on your way to having "Your Forms" completed soon. Your mileage log is a no brainer., right? There's not much to do there but pull up the app. You started that one 52 weeks ago. But if you need a little assistance, let this worksheet be your guide.
And Year End Inventory? Well the year ended 6 days ago and unless you haven't done any business at all in the last 6 days, you've created some extra work for yourself if you haven't done an inventory yet.
Your Home Office Expense Worksheet might take a bit more time. You'll receive some of the forms in the mail soon for this one and you can probably go online to see what you've paid in utilities. That one's not so bad. Here's a worksheet to help you out.
But what about your Income Statement and Balance Sheet? Your Income Statement is essentially what will go on your tax return. It's an account of all of your business income and deductions and will show your profit or loss. Even though some of the numbers will not match exactly what turns up on your tax return (meals, for instance), it's important because it will be biggest player with how much you owe in taxes.
Your balance sheet is not as critical, especially if you're a Sole Proprietorship or a Single Member LLC. But it is important. And Estimated Tax Payments made? I sure hope you made them, especially if there's a profit on your Income Statement.
All in all, take some time in the next couple of weeks to get Your Forms ready for your tax professional. They are full of valuable information that will help you understand the financial performance of your business and assist in determining how much tax you will pay. That way, you can set some goals for your business in 2016 and work to realize your vision for the future.
Need some help getting Your Forms ready? Let's get together and see how we can get it done! I just might have a Solution for you!
Owner, Tax Professional and Entrepreneurial Adviser of JDBC Tax Services. Over 20 years operating businesses and 5 years as a Tax Professional
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