It’s the most wonderful time (of an accountant’s) year!

                January 31^st, is quickly approaching! The significance of that date is that that is the deadline from the IRS for filing end of year tax forms such as W-2’s and 1099’s.

W-2 to-do

Check with your payroll provider to make sure you have everything ready to send out W-2’s to your employees. The deadline to file and mail them is January 31^st. Also, your employees could be itching to get their taxes done so they can get their refunds. Happy employees generally make happy customers, just sayin’.

1099’s, almost the bane of the small business existence

                This honestly could be a lot worse. For every vendor that you purchase goods and services from in a year and pay more than $600 for those goods and services, if they are a sole-proprietor, partnership, LLC filing as a partnership, or something else exotic non-corporate entity, then you must file form 1096 with the IRS and mail a form 1099 to the vendor. A couple of years ago, the IRS was on the cusp of forcing companies to file 1099’s with EVERY vendor that was paid more than $600. Yikes! The politicians quickly realized that this was a bone-headed move, and reversed course. But don’t think that that sentiment will go away permanently. But for now, you only have to worry about non-corporate entities. Hopefully, you have a form W-9 from all vendors, so you’ll have their tax ID number (Social Security Number or Employer Identification Number), so you’ll be able to quickly process and get those bad boys into the mail. Most accounting software can print 1099 forms directly, and you can get forms from an office supply store.

Help needed?

If you need help and are in the Dallas-Fort Worth area, drop us a line at Ledger & Pen, at acrawford@ledgerandpen.com