0357: Annual Tax Return Pointers For Construction Contractors

<h1 style="text-align: center;"><span style= "color: #0000ff;"><strong>This Podcast Is Episode Number 0357, And It's About Annual Tax Return Pointers For Construction Contractors</strong></span></h1> <div>Preparing for tax season is a year-round endeavor. Well-organized small businesses are better positioned to minimize their tax bill while avoiding penalties associated with missing or inaccurate information.</div> <div> </div> <div>Tip number one for construction company owners is to update financials every month, using a <a href= "../../../xero-contractor-outsourced-accounting" target="_blank" rel="noopener">streamlined software</a> or <a href= "../../../quickbooks-desktop-in-the-cloud-online" target="_blank" rel="noopener">cloud-based</a> system. This way, come tax time, everything you need is all in one place. </div> <div> </div> <div>Second - The Profit And Loss Balance Sheet is what Tax Accountants use.</div> <div> </div> <div>The numbers on these reports offer a summary snapshot of your business. They are referred to and reviewed over and over by banks and others.</div> <div> </div> <div> <p>Below is a copy of the "Schedule C” it is the standardized format from the Internal Revenue Service. </p> <p>Besides the bottom number, what does it tell you? I suspect minimal information. Why? Because the Internal Revenue Service has rules/regulations/restrictions about their forms and as much as they want to cram in more detail. How many pages? What font size? The form becomes the "Bigger Bucket" theory.</p> <p style="text-align: center;"><a href= "https://www.fasteasyaccounting.com/tax-preparation-services" target="_blank" rel="noopener"><img style= "width: 468px; margin: 0px auto;" src= "https://www.fasteasyaccounting.com/hubfs/Schedule%20C.png" alt= "Schedule C" width="468" /></a></p> <p><span data-preserver-spaces="true">The "Bigger Bucket Theory" is where data input installs as many transactions as possible into a single line. For example, income can be all of the deposits from bank statements, which may have c