Now that it’s summer, tax preparation in MA is probably the furthest thing from your mind. And while we understand that you’d rather kick back than think about taxes, if you don’t want to scramble come tax season, it’s always time to think about tax prep. The good news is that you don’t actually have to do too much to stay on top of your taxes. At ABC Payroll, we make it easy with payroll services, tax preparation services, and access to our team of expert accountants.
Here are the things you should keep track of during the year to make tax preparation in MA a breeze.
Save all your receipts.
This one might seem obvious, but we all get careless sometimes. If you are making a business purchase or receiving a payment—even if it’s in cash—always get a receipt and hang on to it. You’ll want to keep them organized as well, at the very least separating income and expenses. Dividing them up into further categories such as office supplies, maintenance, and bills is even better. If your business offers multiple services, you can organize your invoices by service provided.
Track your mileage.
If you run a small business or are self-employed, you probably have to do a fair amount of driving in the day-to-day operations of your business. If you have to drive out to see a client or pick up a piece of specialized equipment, always track your mileage. The standard mileage deduction is calculated per mile, and it often changes every tax year. Always check what the mileage deduction is for the current tax year before you calculate it. You’ll also need to know how many miles you drove for the entire year, business-related or not. So check your odometer at the start and end of every tax year.
When in doubt, hang on to it.
If you ever wonder if you will need a document, either physical or electronic, again, hang on to it. It is so much better for your accountant to be able to tell you that you don’t need something than to ask you for a document that you threw away. If you do your taxes yourself, you’ll be relieved when you don’t have to scramble to find documents you didn’t know you needed come tax season.
Tax Preparation in MA Is Easy with ABC Payroll
We know you’re busy enjoying your summer. But make sure to take a little time to keep your business organized so you don’t have to think about it when tax season starts. If your business needs assistance with tax preparation in MA or payroll services, ABC Payroll can help.