It’s hard enough knowing that your documents aren’t in order but then you read an article like this one and you start questioning your accountant.
Do you remember your accountant? That guy or gal who you speak to once a year when you send them your tax documents and then they invoice you, you pay them and you’ll speak again next year.
When you ask them questions do they take a moment to give you the answers or do you complete your taxes each year with unanswered questions still hanging over your head?
If your questions aren’t getting answered by your accountant then you need a new one!
kAos Group and the good accountants work hand in hand – we set up the systems to manage your documents and the accountants make sure the numbers allocated appropriately on your taxes.
Think about it this way – if your accountant told you that he/she could expense your mileage instead of your gas receipts would you be able to share the actual mileage you travelled each week last year? Most people would answer no and that is absolutely fine if you have your gas receipts handy. But if you are going to embark on a conversation with your accountant you’ll need to make sure you have organized systems that will enable you to track the information you’ll need to give him/her next year.
Here are some common questions you may ask your accountant:
1. What are the ramifications of not paying payroll or corporate taxes?
2. Can retirement funds be funded until the date of filing?
3. Should I use mileage or gas receipts for my deduction?
4. What’s the most efficient way to track personal expenses incurred on behalf of the business?
5. Will the equipment in my office be written off as an expense or should it be depreciated and why?
6. Should I hire my children as employees to save on my profits and is this legal?
7. Are those team members ‘employees’ or independent contractors and are you positive?
8. Do I need to keep my receipts
9. When should I pay wages and bonuses
Be organized and ensure your accountant wants to work with you, if they don’t then find an accountant who does.