Many tax payers, whether individuals or businesses, need an efficient, effective filing system for their tax related documents. Tax related documents include records that identify sources of income, keep track of expenses, determine the value of property, save time when preparing the tax return or support claims made on your return. These records would include employer W-2s, 1099s, bank and brokerage statements, cancelled checks and credit card receipts.
Don’t wait until the end of the year or just before your return is due to start gathering the required information. Keep your records in order by date, broken down by category. Organizing your receipts and various financial forms as the year goes along will make it easier to get the numbers you need when its time to file you tax return.
If you have a lot of transactions to summarize or investments to track then a software program such as Quicken provides a great way to store and organize your personal information. Small office or home office business owners should use Quickbooks for their recordkeeping needs. If organized correctly the Quickbooks data can be downloaded into the tax preparation software. This will save time and fees when preparing your tax return.
Starting a business?
According to an article in the Oct. 17, 2007 issue of the Kiplinger California Letter, Santa Clarita will be the county’s third-largest city by 2035. New development and annexations have created a city of 250,000 that will grow to 525,000 people by then. The two largest cities will be Los Angeles and Long Beach. This growth will present many opportunities for business entrepreneurs who wish to start or expand their business.
Please contact me with any questions or concerns you may have related to tax or accounting questions. For more information, please call 661-253-0270 or email info@chegwin.com .