Avoid Penalties for Late Payments and Filings of Taxes

One of the biggest, and unfortunately most common, mistakes small business owners make is making late tax deposits and late filing of tax returns. The IRS brings in plenty of revenue from penalties, and interest generated from these mistakes. It is worth the time to set procedures in place to make sure that tax filing and deposit deadlines are met.

There are generally two different issues, which result in IRS penalties being imposed on small companies. One is the genuine unintentional missing of deadlines and the other results from spending funds that should have been set aside for tax deposits, particularly payroll tax deposits. We’ll address each separately.

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Tags: Cpa, Crisis Points, Deposit Deadlines, Federal Payroll Tax, Fillings, Irs Penalties, Irs Website, Late Payments, Payroll Data, Payroll Service, Payroll Tax Deposits, Payroll Tax Payments, Payroll Taxes, Quickbooks Software, Small Business Owners, Tax Filing, Tax Filings, Tax Irs, Tax Liabilities, Tax Returns

1099 Vendor Setup in Quickbooks

In addition to selecting all your appropriate accounts under the 1099 setup preferences, discussed in our previous post, you will need to set up your 1099 vendors properly as well. Under each vendor’s setup there is an Additional Info tab. On this tab, you will find a check box labeled “Vendor eligible for 1099”. Right above this check box is a field for entering the vendor’s tax ID number. For every vendor who provides services for you, and is not incorporated, you should have the 1099 box checked and their tax ID number recorded. This includes vendors whom you haven’t paid, or don’t expect to pay, $600.00 or more. It will also be important to have their mailing address in your vendor setup for 1099 purposes as well.
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Tags: 1099 Form, Amp, Info Tab, Mailing Address, Payables, Precious Time, Preference, QuickBooks, Setup Preferences, Tax Id Number, Vendor Setup, Year End

1099 Settings in Quickbooks

If you hire services performed by other individuals or companies during the year, you may be required to supply them with a 1099 form at the end of the year, showing the full amount of funds distributed to them for their services. Corporations and vendors whose total payments for the year totaled less than $600.00 do not need to receive 1099 forms, but the rest of those vendors will. In order to print out accurate forms at the end of the year from your Quickbooks software, you will need to make sure that you have your 1099 settings in Quickbooks set appropriately.

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Tags: 1099 Form, 1099 Forms, Amp, Cleaning Service, Company Preferences, Corporations, Employee Compensation, Expense Account, Office Cleaning, Payables, Preference, Quickbooks Software, Subcontractor, Threshold

Add Sex Appeal to Your Financial Reports by Formatting in Excel

Quickbooks reports can all start to look the same after awhile, making it hard to find the one you are looking for in your stack of financial reports for the month. If you’ve ever wished you could add some custom formatting to make one report stand out from another, Excel is the perfect solution.

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Tags: Amp, Borders, Change Column, Column Widths, Columns, Excel Tools, Excel Workbook, Export To Excel, Fonts, Format Painter, Formatting Tools, Headings, Options, Perfect Solution, Periods, Profit And Loss, Quarters, QuickBooks, Sex Appeal, Stack

Why hire a bookkeeper? Quickbooks is easy to use, right?

Yes, Quickbooks is meant to simplify accounting functions to enable anyone to use it. However it is amazing just how big of a mess you can end up with if you don’t understand basic accounting principals.

This is a true account and not a hypothetical situation of what can happen when your day to day transactions are not recorded correctly.

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Tags: Basic Accounting Principals, Bookkeeper, Books Of Business, Business Merger, Businessman, Costly Mistake, Expense Account, File Merger, Financial Statements, Hypothetical Situation, Months Of The Year, Own Books, Previous Year, Profitable Business, Quickbooks Accounting, Quickbooks Files, Receivables, Recollection, Tax Returns, True Account