Tax planning is important to the stability and wellbeing of any small business, and having a professional on board that is well-versed in both tax codes and the inner workings of payroll can help to eliminate any setbacks that could arise in the future. Many small businesses claim that they could prepare their taxes by themselves in order to save money, but a single unfortunate mistake could cost a business more than it would have cost to hire someone for the job in the first place. Keep in mind the following advantages to see if a qualified tax professional outweighs the overall expense.
Having a qualified tax service prepare your tax returns helps to ease the burden due to the fact that they can be so astoundingly intricate and complex. Itemizing deductions in a small business means that a slew of forms have to be completed, all requiring various amounts of information. This can become a somewhat time-consuming process, and the risk of making a mistake increases with each form that needs to be filed.
The IRS keeps track of common tax errors that are made. Computation errors such as taxable income, entering payments incorrectly or even simple math errors are some examples that they find. A single slip-up, such as these examples, can delay a refund. A mistake could even result in tax liability, interest and substantial fines. Many tax services have a keen eye for these types of errors, and while not every service is perfect, some tax services will even pay these fines if an error occurs (usually with an insurance policy).
Avoid the consequences if an error is found. By signing the tax returns, businesses are declaring that all information is accurate and true, and an error can create serious legal consequences. A professional tax preparer adds a small safeguard for potential liability.
Professional tax advice is a valuable asset for businesses to utilize. Tax services can help a business determine if there are certain deductions or credits that the business qualifies for. If you are ever unsure of an instance when the business should take a credit or a deduction, a trained specialist will be able to help decide which one has the greater benefit.
At Padgett Payroll Services®, we know that tax issues are unique to each business, and our staff members possess expert tax preparation tactics that can help you solve even the most complicated tax issues. Please contact us today if your business is in need of professional tax services.