2008 Taxes!
Even though 2008 is officially over, the work to wrap up your books, records, and taxes is hardly over.
If you make quarterly tax payments, as many self-employed, small business owners do, the deadline to make your final quarterly tax payment for 2008 is Thursday, January 15, 2009.
The best way to ensure that you are paying your taxes properly is to keep good records throughout the year. Not surprisingly, year-end is also a good time to re-evaluate your current business processes, and make plans for improvements that will aid you in the coming year.
I am a huge fan of the do-it-yourself tax software, TurboTax®. Some business owners may opt to hire a tax professional to handle their taxes. The IRS has just published a “Tax Tips” bulletin, with some great advice about finding a tax preparer. You can read the entire bulletin by clicking here. I have provided an excerpt from the IRS bulletin below.
- Find out what the service fees are before the return is prepared. Avoid preparers who base their fee on a percentage of the amount of your refund or who claim they can obtain larger refunds than other preparers.
- Only use a tax professional that signs your tax return and provides you with a copy for your records.
- Avoid tax preparers that ask you to sign a blank tax form.
- Choose a tax preparer that will be around to answer questions after the return has been filed.
- Ask questions. Do you know anyone who has used the tax professional? Were they satisfied with the service they received?
- Check to see if the preparer has any questionable history with the Better Business Bureau, the state’s board of accountancy for CPAs or the state’s bar association for attorneys. Find out if the preparer belongs to a professional organization that requires its members to pursue continuing education and also holds them accountable to a code of ethics.
- Determine if the preparer’s credentials meet your needs. Does your state have licensing or registration requirements for paid preparers? Is he or she an Enrolled Agent, Certified Public Accountant, or Attorney? If so, the preparer can represent taxpayers before the IRS on all matters – including audits, collections, and appeals. Other return preparers can represent taxpayers only in audits regarding a return signed as a preparer.
- Before you sign your tax return, review it and ask questions.
If you know that you need to make some changes for 2009, but need help with knowing where to start, I may be able to help. You can reach me by email at: info@coakleysbs.com
Happy New Year!