Trends in small medium businesses: Tax Time Means Changes for SMBs
“The wages of sin are death, but by the time taxes are taken out, it’s just sort of a tired feeling.” Paula Poundstone
Running an SMB means that you have to get used to change. This is especially true when it comes to changing local business codes, consumer interest in your product, and especially changes when it comes to taxes.
As Americans, we’re fortunate to live in a society that encourages free enterprise. In addition, the IRS encourages business owners to file conveniently and electronically. In fact, the IRS expects people to file at least 153 million 2016 tax returns electronically. However, the same deductions that were available to your business last year might not still be available to you this year.
It’s important to have a general idea of where your business stands when it comes to taxes.
For many businesses, you might also want to delve deeper and work with an accountant to ensure you’re getting all the deductions your business is entitled to.
What are Some Changes for Tax Year 2016 That Might Affect Your Business?
- Electronic filing PINS are defunct,
- You get an extra day to file. April 15th falls on a Saturday. However, the last tax filing day without an extension is Tuesday, April 18th, not Monday the 17th.
- The IRS recommends you choose one tax preparer instead of jumping from one preparer to the next. There may come a time when the IRS demands records from previous tax preparers that they didn’t maintain for you.
- You might have to wait longer for refunds on deductions you’re used to getting. The refund delay is a real thing and not just something to keep in mind. Individual taxpayers and business owners expecting refunds for any reason should expect to possibly be forced to wait anywhere from a few days to over a week to receive the refund amounts they’re entitled to.
- The IRS recommends that everyone start preparing for tax time early. Don’t wait until the last minute to get your paperwork together. File early if possible. That way, you can ensure your taxes are processed as quickly as possible and you get your refund as soon as possible.
Contact us today at 1stel. We love to help small and medium-sized businesses grow. We provide solid data security, data management, and office management solutions to keep you going and growing.