“In this world nothing can be said to be certain, except death and taxes.” – Benjamin Franklin
Your small business needs to correctly file and pay taxes – on time
That hopefully isn’t news to you. But many small business owners put off thinking about taxes until the last possible moment.
Planning ahead not only means you’ll avoid a last-minute scramble to get all your documentation completed – it also means you’ll have the opportunity to minimize your tax liability.
So, as a small business owner, what should you do to make sure you’re fully on top of your taxes?
#1: Set Up Your Business in the Right Way
Different business structures have different taxation requirements. It’s important to choose whichever is going to be most appropriate for your business. That might mean setting up as a sole proprietorship, a partnership, an LLC, or a corporation.
It’s well worth seeking advice (or at least doing some in-depth research) before you set your business up, to ensure you’re not going to end up paying far more tax than you should.
#2: Don’t Just “Leave it to the Professionals”
While you hopefully have an accountant and/or bookkeeper, it’s important not to simply leave everything to them.