Preparing for Tax Season: A Checklist Every Small Business Needs

Written by Megan | Jan 25, 2025 4:02:18 PM

Tax season can feel like an overwhelming hurdle for small business owners, but with proper preparation, it doesn't have to be! Whether you’re DIYing your taxes or working with a professional, having an organized system can save you time, money, and stress. Here’s a simple, actionable checklist to help you stay ahead this tax season—and a must-have resource to make the process even easier!

Step 1: Gather All Your Financial Records

Your first priority should be organizing your income and expense records. This includes:

  • Bank and credit card statements
  • Receipts for business-related purchases
  • Invoices for sales or services rendered
  • Mileage logs, if applicable

💡 Tip: Make it easy on yourself with a tool like the Tax Preparation Workbook, which includes an Income & Expense Tracker to log all your transactions in one place.

Step 2: Know Your Tax Forms

Depending on your business structure, you'll need specific tax forms:

  • Sole proprietors and single-member LLCs: Schedule C
  • Partnerships: Form 1065
  • S Corporations: Form 1120-S
  • 1099-MISC or 1099-NEC for contractors you've hired

Our Tax Preparation Workbook comes with a Tax Forms Organizer so you’ll know exactly which forms you need and can keep track of them all in one spot!

Step 3: Maximize Your Deductions

Small business tax deductions are your best friend! Don’t leave money on the table. Some common deductions include:

  • Office supplies and software
  • Business travel expenses
  • Marketing and advertising costs
  • Home office deduction (if eligible)

To ensure you capture every eligible deduction, the Tax Preparation Workbook includes a Deduction Summary Checklist—you’ll never miss out on savings again!

Step 4: Track Quarterly Tax Payments

If you’re self-employed, you’re likely responsible for estimated quarterly tax payments. Missing these payments can lead to penalties, so staying on top of them is crucial.

The Tax Preparation Workbook features a Quarterly Tax Payment Tracker to help you monitor deadlines and amounts paid throughout the year.

Step 5: Prepare for Tax Day and Beyond

As the filing deadline approaches, make sure you’ve reviewed all your records, reconciled your accounts, and summarized your year’s income and expenses.

With the Year-End Summary Sheet in the Tax Preparation Workbook, you can easily compile all the data your accountant or tax preparer needs for smooth, stress-free filing.

Bonus Step: Be Audit-Ready

Nobody wants to think about the possibility of an audit, but being prepared is key. Keeping your records well-organized throughout the year will help you breeze through any review.

The Tax Preparation Workbook provides an Audit-Ready Documentation Checklist to help you stay prepared for anything.

Why the Tax Preparation Workbook is a Must-Have for Small Business Owners

If the thought of organizing your financial documents, tracking deductions, and preparing for tax day makes your head spin, you’re not alone! That’s why we created the Tax Preparation Workbook—a comprehensive guide designed to simplify the process and keep you organized year-round.

👉 Don’t wait until the last minute! Grab your copy of the Tax Preparation Workbook today and make this tax season the easiest one yet.

 

Disclaimer

While I am a bookkeeper with experience in helping small business owners manage their finances, I am not your bookkeeper or a tax professional. The information provided in this blog is for general informational purposes only and should not be considered tax, financial, or legal advice. Always consult with a qualified tax professional for advice tailored to your specific business and financial situation.

With the right tools and a little preparation, tax season doesn’t have to be stressful. Follow this checklist, stay organized, and let the Tax Preparation Workbook guide you every step of the way!