As a trusted bookkeeping service in Atlanta, Sound Business Services wants to remind you (as if you’d forget) that personal income tax returns are due on April 15, 2013. We realize this is a date many business owners would rather forget, but like the old saying goes, “the only sure things in life are death and taxes.”
While you can get a six month extension with both the state of Georgia and the IRS (form 4868), keep in mind that October 15th is the last day to file an extension. After that date lapses, you will have no valid extension option and will be subject to additional penalties and interest. An extension to file does not give you permission to pay late; by law, it is required that individuals pay taxes as the money is earned.
Here are a few other things to keep in mind for personal income tax purposes:
The mileage rate for 2013 is 56.5 cents per mile. It is important that you turn in a monthly or weekly expense report to get reimbursed for personal expenses related to business. Keep track of business mileage with a day to day log; this is required in IRS tax rules.
If you are having Sound Business Services prepare your personal income tax return, here is a checklist that will make things easier for all involved:
- All medical expenses incurred in 2012, including copies of any individual items exceeding $1,000.
- Property taxes, including copies of any individual items exceeding $1,000.
- Property taxes on automobiles (Ad valorem taxes), including copies for any items exceeding $1,000.
- Mortgage interest, including copies of any individual items exceeding $1,000.
- Contributions (cash and property), including copies of any individual items over $1,000.
Other items include:
Copies of all 1099s, W-2 forms, interest, brokerage statements, dividends, etc. or other reported income forms.
Include any changes from the prior year which could affect this year’s return, including change in filing status, business/home address, dependents, etc.
Child care expenses, tuition, student loan interest and other miscellaneous income and/or deductions should be forwarded to us.
New clients are asked to bring a copy of prior year tax returns, both personal and corporate. If you have recently incorporated or done so since your last tax filing, also bring a copy of your S Corporation acceptance, incorporation papers and Federal identification number.
Please recap all expenses and revenue if you have earned income as an independent contractor/sole proprietor regardless of whether you received a Form 1099 for the work.
We know April 15th is still nearly four months away, but it will sneak up on you before you know it – and it’s good to be prepared so that you can avoid the stress as the date grows nearer. Our Atlanta bookkeepers know that being prepared when it comes to taxes is half the battle!
Count on Sound Business Services for all of your Atlanta bookkeeping needs. We save you time, stress, and offer cost-effective solutions to all of your accounting, taxes, and payroll needs.