Filing taxes can be an expensive part of running a business, with 46% of businesses spending between $5,000 and $20,000 each year on the administration of taxes, legal fees, and other internal costs.
Not only can tax preparation cost a lot of money, but it also takes hours and hours to prepare taxes each year as a business owner. In some cases, it may be best to hire a professional company for your tax services in Charlotte, NC.
Do you want to learn when your company should hire accounting services to help with your tax planning, tax resolution, and more? Keep reading this guide for everything you need to consider before hiring an accounting company.
You’re Running Out of Time
One of the main reasons why you might need the help of a professional tax planner is if you are running out of time. Preparing your taxes can take weeks, especially if you aren’t familiar with the process.
If you feel like you will not be able to complete your taxes before your deadline, you can outsource these services.
Not only will hiring an accounting service help you save time on tax preparation, but they can also increase your productivity in other areas of your business. This is because you can use your time to focus on other aspects of your business that may be more profitable.
You Want to Save Money
Another reason why you may want to hire a tax planning service is if you want to save money. As a business owner, you owe more taxes than the average individual. According to the Small Business Administration, the average tax rate for small businesses is 19.8%.
However, there are many tax-saving opportunities that you can use to save money.
Professional tax planners can utilize different strategies to help you receive a better tax cut. This can save you thousands of dollars! They can also help you maximize your deductions to lower the amount of money that you owe.
Your Business Is Expanding
If your business is expanding, you should hire a company to help with your tax resolution. This is especially important if you are expanding your business out of state.
This is because there are different rules and regulations for business tax in different states. Even if you are familiar with the process to file your taxes in your current state, a new state can provide many new challenges.
Working with a professional tax planning company will ensure that you have all the correct paperwork and are complying with the rules for income, sales, and payroll tax in your new state.
They can also help you with your taxes when it comes to hiring new employees or doing business across state lines.
You Need the Expertise
There are other times when you may simply need the expertise of a professional accounting service. In these situations, you should not leave your tax planning up to yourself, especially if you don’t have any experience filing business taxes.
For example, you should hire a tax planning company if you are being audited by the IRS. This is because accountants know exactly how to respond to the IRS and know what documents you may need to resolve the issue.
If you make a mistake when you are getting audited, you could get penalized or fined.
Another situation that may require the expertise of a tax planner is something that impacts the future of your business. If you get divorced and your business is considered an asset, you may need an accountant to advise you during tax season.
Similarly, you may need help with your taxes if you have a change in ownership for your company or if a business partner leaves.
You Want to Increase Your Security
Another reason why many businesses outsource their tax planning services is to improve their business security. Business taxes deal with highly sensitive data for your business. If this information is accessed by the wrong people, it could be detrimental to your business.
Professional accounting companies have highly secured systems that can prevent your data from being hacked.
Plus, they follow best practices to prevent and identify potential malicious attacks. If you want better security for your tax information, it is best to outsource this to a professional.
You Need to Lower Your Stress
Finally, you should consider hiring tax planning companies for your business simply to lower your stress.
Hiring a professional tax planner will help you reduce your risks when filing taxes. Many small businesses experience issues with employee fraud. While this may be difficult for you to identify, a professional with an outside perspective can help you identify sources of fraud to prevent them in the future.
Plus, tax codes and regulations can change. If you don’t have time to learn about these changes, getting help with your tax resolution will ensure that you pay the correct tax rate and it will prevent your business from getting penalized.
Hiring an accounting company will ensure that your taxes are accurate.
Looking for Help With Tax Services? Find Accounting Companies
When you own a company, business taxes can be a significant source of stress for you. Learning about the benefits of tax services can help you decide if you should hire tax planning services for the upcoming tax year.
If you are looking for the best accounting service in Charlotte, NC to help with your taxes, Basta+Croop can help! Our tax planners can help you with everything from accounting to taxes, payroll, and more.
Contact us today to learn about our tax services and to get help with your cash flow.