Six Reasons to File Your Taxes Early

 

Every business has to file their taxes and those who file early benefit in the long run. The earliest a company can potentially start preparing its tax returns is January 1, 2021, and the available forms of submission are through an online source, a mobile device, or an accountant. Of course, the IRS probably won’t start accepting returns until closer to the end of January, or even early February.  The latest a company can file their tax returns and still be on time is April 15, 2021, as of this date. 

 

Here are six reasons to file your business taxes early and avoid procrastination.

 

1. Avoid Last Minute Stress

 

As previously mentioned, the last day to file taxes is April 15, 2021. To avoid last-minute filing stress, consider filing sooner than later.

 

2. Get Your Tax Return Accepted Quickly

 

The earlier a business’ taxes are filed, the faster the tax return will be accepted. With this said, if you are anxiously anticipating the IRS accepting your tax return, consider filing taxes as soon as possible.

 

3. Protect Business Information

 

Did you know that the earlier your business files taxes, the earlier fraud can be avoided? It’s true! This is yet another great reason to file taxes early. No business owner wants to deal with a case of stolen identity.

 

4. Important Tax Breaks & Benefits

 

There are tax breaks that your business may qualify for; an accountant can help analyze your business’s financial history to accurately determine what tax breaks your business qualifies for and how much money it can save your company. 

 

Also, knowing how much money your business will save will help in calculating profits for the year. Once your company understands how much extra money it will have (or will need to pay), then planning can begin. For example, one benefit of having this information includes being able to make certain decisions, like investing in large purchases earlier than expected, or planning to push those down the road as you wait for cash flow to catch up again.

 

5. Find The Best Options

 

Whether your company decides to hire an accountant, or try and file on your own, finding the best option for your business is the most important thing. 

 

6. Prepare To Pay Your Taxes 

 

If a business waits until the last minute to file taxes, there will only be a certain amount of time to pay the tax bill. If taxes are filed early, there is more time to prepare and set aside money to pay the tax bill by the due date. 

 

If you still have questions about filing taxes or need assistance in preparing for filing, please contact Taurus CPA Solutions today. 

 

Savvy tax planners work to minimize tax liability so your business can keep as much of its hard-earned profits as possible. Taking a do-it-yourself approach increases your odds not only of making mistakes but of missing tax strategies that could potentially save you hundreds or even thousands of dollars. 

 

Our talented team at Taurus CPA Solutions live and breathe tax planning; let us handle your business’s tax preparation, so you don’t have to. Visit our website, or give us a call at 410-465-4600.