In an ideal world, as the holiday season is settling in, you’d be cueing up the new Cher Christmas album, asking the DJ to play a Christmas song and dance all night long. However, if you’re reading this right now, you’ve found yourself doing a different kind of dance – the small business owner’s tax filing shuffle.
Fortunately, you’ve landed at the right place. The tax tango is a specialty of ours. At Ceterus, we’ve gathered valuable insights on tax deadlines and last-minute tax filing tips, including crucial tax deductions to keep an eye on, all aimed at helping you minimize your tax liability and file on time.
Key Deadlines and Why They Matter
The first step to successful tax filing is being aware of the deadlines. Missed deadlines can result in penalties and added stress, so let’s get ahead of the game.
- The deadline for employees or independent contractors to receive their W-2, 1099-NEC, or 1099-MISC tax forms is January 31, 2024.
- The deadline for partnerships, S corporations, or LLCs taxed as partnerships to file business tax returns and extensions, if needed, is March 15, 2024.
- This deadline for C corporation tax returns, personal returns, and extensions filed (if necessary) is April 15, 2024.
3 Essential Last-Minute Tax Tips
1 | Get Organized!
Having all your financial documents in order can make the tax filing process smoother. You’ll need your SSN, Federal Tax ID, previous tax returns, accounting ledgers, income statements, transaction documents, invoices, checkbooks, vehicle logs, employee and non-employee tax forms, payroll reports, categorized receipts, insurance details, asset depreciation schedules and more.
You should have started collecting your 1099 documents early to meet the IRS deadline.
2 | Double-Check Your Tax Deductions & Credits
Even though you’re clamoring for time, it’s imperative not to overlook valuable tax deductions and credits. These can include common business expenses such as:
- Business Vehicle & Use of Car
- Depreciation
- Home Office Expenses
- Office Supplies
- Rent & Travel Expenses
- Retirement Contributions
- Business Insurance
- Training/education
- Employee Wages & Benefits
Some small business tax credits include:
- Retirement Plan Credit
- Investment Credit
- Paid Family & Medical Leave Credit
- Work Opportunity Credit
- Disabled Access Credit
- R&D Tax Credit
- Natural Disaster Tax Credit
3 | Consider Filing An Extension
If you’re pressed for time because you’re waiting on crucial information, filing a tax extension can give you up to six additional months to file your tax return. However, it’s important to note that an extension to file does not grant you an extension to pay any tax owed. If you anticipate owing taxes, you should estimate the amount and pay it with your extension request.
Once you file an extension, here are the deadlines you need to abide by based on your business’s entity type.
- September 15, 2024: Extended deadline for partnership or S corporation return.
- October 16, 2024: Extended deadline for sole proprietorships corporate return.
Reminder! Pay what you own on time to avoid penalties.
The Bottom Line…
While understanding tax deadlines and last-minute filing tips is helpful, year-round tax planning is the best way to avoid the stress of tax season. This involves regular review of your financials, keeping up-to-date records, understanding your books and how your business decisions impact your taxes. This is where Ceterus comes in.
We’re your trusted partner for clear financial insights, tech-enabled bookkeeping, and tax prep so franchise and small business owners like you can build a stronger future.
Never File Taxes at the Last Minute Again
With Ceterus as your bookkeeping and tax resource, you can expect:
- Year-round tax planning at no extra cost.
- Our bookkeeping and tax teams work in tandem to guarantee accurate, timely filings – covering all tax obligations, including federal, state, sales and personal property tax.
- Get a clear financial picture of your business with our comprehensive tax strategy.
While others deck the halls, be sure you’ve got all the right moves for a tax season finale that leaves you with more dollars and fewer headaches!
Schedule a consultation today to learn more.
