The end of the year is a time of joy—a time to relax, celebrate, and get together with loved ones. For many business owners, however, the end of the year heralds a decidedly not joyous occasion: the beginning of the next annual tax preparation season.
If your business’s fiscal year lines up with the calendar year (that is, if your fourth quarter ends on December 31st), now is the time to start getting your taxes in order. The earlier you start, the lower your chances of making a mistake on your forms or incurring late filing penalties. First up for tax filings, MISC 1099 forms— due January 31st, these need to be filed for any vendors or contractors you paid $600 or more in 2018.
Moreover, your business may need extra time to adapt to recent updates in the tax code. The Tax Cuts and Jobs Act was enacted in January of last year, which means it didn’t impact taxes filed this past April (for the 2017 tax year), but went into effect for the current tax year (2018). The law not only includes numerous changes for C corporations, but also for “pass-through companies” such as S corporations, partnerships, sole proprietorships, and limited liability companies. Business owners should watch out for new tax brackets and thresholds, larger standard deductions, stricter limits on itemizing expenses, and more.
In short, there are numerous reasons to think about your taxes now, and to start preparing even earlier than usual.
Fortunately, we have the perfect tax planning resource for you. Our friends at inDinero have put together a comprehensive guide about the 2018 tax season.
The guide includes…
- 2019 tax deadlines for filing 2018 business returns;
- what forms and actions various business entities need to file and take by their deadlines;
- information about changes caused by the Tax Cuts and Jobs Act;
- considerations for companies that have started, ended, or converted to another business format in 2018;
- information about extending filing deadlines;
- and much more.