There are many important aspects to take into consideration when preparing tax returns. Most of these are accounting methods used to report business expenses and income. Based on whether the business is an accrual or cash entity, the accounting method may be one of the two. Small business owners are required to also make a quarterly estimated tax payment. These payments can be made on the internet using the Electronic Federal Tax Payment System or by submitting a 1040-ES form with a tax bill.
Intuit offers multiple levels of service to help small businesses with tax returns. People who want an easier approach to tax preparation can choose between the online TurboTax Self-Employed package as well as the more involved TurboTax Business application. This option pairs business owners with a tax professional who will prepare their return from start to the end.
TurboTax Business can also help in the preparation of 1099-MISC, W-2, and 1040-DIV for employees and contractors. It can also calculate the estimated tax payments that are typically required by the IRS when you anticipate to owe more than $1000 in taxes.
The program can be costly The program can be costly, however. With a cost of $200 for the federal filing and $55 for each state, it’s a quick increase to. There are many benefits such as unlimited live assistance from an expert and a 100% accurate calculations guarantee. However, these extra features aren’t easy for small companies to afford. There are cheaper alternatives to TurboTax.