When you’re running a small business, you wear lots of hats. You may be CEO, receptionist, accountant, and salesperson all wrapped into one.
Juggling these roles can become stressful, taking away attention from the very thing you’re trying to build–your business.
When it comes to taxes, hiring a tax professional can be one of the best time-saving, stress-reducing decisions you ever make for your small business.
If you’re considering hiring a tax pro for your small business, here are 5 reasons that may help you decide to take the plunge!
1. More Time to Focus on Your Business
As a small business owner, you probably pride yourself on juggling several roles to make your business run smoothly. But at some point, you have to start outsourcing a few tasks to make sure you have time to accomplish everything you need to do. After all, nobody can do it all! Instead of spending time stressing over your books, why not outsource your tax accounting to a pro? You’ll have more time to focus on growing your business, and one less thing on your to-do list.
2. Save Money
Hiring a tax pro helps you make sure you’re not missing out on any deductions. Tax code is complicated, and tax accountants are constantly updating their knowledge to stay current. Sure, you can keep track of deductions yourself, but having a professional in your corner is a surefire way of lowering your tax bill.
3. Reduce Stress
Tax deadlines, paperwork, and figuring out deductions are tasks generally disliked by small business owners. And with the stress of handling taxes added to the general difficulty of running a business, it’s no wonder that so many people procrastinate on filing their taxes! Hiring a tax professional can remove the stress of dealing with this mental clutter, freeing up brainspace to focus on more important things like business strategy and marketing.
4. Up Your Tax Strategy
When you do a renovation, you hire a contractor. When you need a haircut, you don’t do it yourself. So when you’re doing your taxes, why would you try to DIY? Tax pros don’t only file your taxes and help you with deductions. They can also bring a professional’s strategic perspective to your business. A solid tax pro will incorporate a plan of action to ensure you’re maximizing your savings while still following tax laws.
5. Reduce Your Risk of an Audit
Being selected for an audit doesn’t always mean something is wrong. In fact, people are often selected at random by statistically comparing their tax return against others in a similar pool.
But some people or businesses are selected for returns when they involve issues or transactions involving other taxpayers whose returns were selected for audit.
The best way to avoid an audit is to be honest and accurate in your tax returns – and to keep accurate records of your dealings with other taxpayers/businesses. Because a seasoned tax professional knows the ins and outs of the tax code, hiring a pro is a great way to lower your chances of being flagged for an audit.