7 Ways To Organize Yourself For Taxes
Don’t let your accountant organize your receipts for taxes.
You and only you are responsible to the IRS if your receipts
are not categorized correctly. Take your time, lay out your
reciepts, and place them in the category you think they
belong in. Attach each category to a sheet, list the
category at the top of the sheet, list each item on each
sheet and why it is deductible.
1. Make two categories–Business and Home
You should have two sheets, one with Business written the
top and one with Home written at the top. Place your
business file in front of your home file and your personal
file in front of your personal file. List all of the
categories you can think of and you see on the list of a
typical schedule
2. Sub Caterorize your Business and Home Titles
Place several sheets on top of the Business sheet and
several on top of the personal sheet. Write down each
category that applies to Business and each that applies to
Home on each sheet. Take each sheet from your Business
category and one from your Home category and place
sub-category on them.
3. Your Groups of Receipts
Remove your receipts from your accordian file you have
stored all year. Attach the receipts that belong to each
Business sheet sub-category, you should have several sheets
with Business at the top and the sub-category. Do the same
with your Personal deductions.
5. Research Your Deductions
Research and read up at the IRS website to find out any and
all possibilities you have for tax deductions. Copy and
paste that sheet to sub-category. You can also find
potential tax deducations on the actual tax forms provided
to you by the IRS, find those on the IRS website at irs.gov.
6. You and your accountant
Make sure your accountant understands what you have done and you understand what he or she has done. Discuss your tax
deductions with your accountant. You are ultimatley
responsible for everything that goes on your tax forms.
7. The Importance of Honest Tax Preparation
It still amazes me how many business professionals do not
understand the importance of honesty in tax preparation. It
is very easy to get caught submitting dishonest tax
information, and you may not be caught for years to come.
Lois Center-Shabazz is the author of, Let’s Get Financial
Savvy! and the editor of the personal finance website,
http://www.MsfinancialSavvy.com, Get a free ecourse at,
http://www.msfinancialsavvy.com/register/ecourse7.php.
