When preparing tax returns for small companies there are some important considerations to take into account. The majority of them involve accounting methods used to report the business’s income and expenses. Depending on whether the entity is an accrual or cash entity the accounting method could be one of the two. A lot of small business owners must also make a quarterly estimated tax payment. These payments can be made through the Electronic Federal Tax Payment System, or by submitting 1040-ES forms along with a tax payment.
Intuit offers several levels of service to assist small businesses with tax returns. Those looking for an easier approach to tax preparation can choose between the online TurboTax Self-Employed option as well as the more involved TurboTax Business application. This option matches business owners with a tax professional who will prepare their return from start to finish.
TurboTax Business also helps with the preparation of W-2, 1099-MISC, and 1040-DIV for employees and contractors. It will also calculate estimated tax payments that are required by the IRS when you expect to owe over $1,000 in taxes.
The program isn’t cheap, though. The costs More Info turbotaxsmallbusiness.com/avast-business-patch-management-review/ can quickly escalate with the federal filing costing $200, and each state averaging $55. There are numerous advantages, including unlimited live assistance from an expert and an assurance of 100% accurate calculations. These extra features are costly for some small business owners. There are alternatives that are less expensive than TurboTax.