……….WHAT YOU CAN DO NOW to prepare for year-end
	UNDERSTAND YOUR FINANCIAL STATEMENTS
	If you are not familiar with how to produce and understand the financial reports generated
	by QuickBooks, now is the time for us to teach you.  A better understanding assists you
	in making better business decisions.  Your financial statements tell a story in numbers.
	ADJUST YOUR GENERAL LEDGER TO AGREE TO THE PRIOR YEAR TAX RETURN
	Have prior year adjusting entries been entered into your ledger?  If not, contact us.
	NEGATIVE EQUITY – make sure you have BASIS or any losses will be suspended
	If the equity section shows an overall NEGATIVE balance, contact us regarding basis.
	REIMBURSED EMPLOYEE BUSINESS EXPENSES - accountable plan
	If you reimburse "w2 type" employees for business expenses, you need to have an
	"accountable plan" established.  That means you must base the reimbursement on actual
	expenses that are documented by the employee and provided to you.
	If you do not have such a plan, the reimbursements need to be included in the employees W2s.
	INSURANCE - track activity by type and also by shareholder
	Your tax return requires insurance to be broken out by TYPE and by SHAREHOLDER.
	INSURANCE - FYI - we offer insurance through our BestPay payroll partner
	We would be glad to get you a quote.
	WORKER’S COMPENSATION
	Applies to employers with 3 or more full and/or part time employees.
	To avoid the annual sticker shock of the worker's compensation audit, consider getting
	"pay as you go" worker's compensation if you are using BestPay for your payroll service.
	REVIEW THE ASSET DETAIL SCHEDULE INCLUDED IN LAST YEAR'S TAX RETURN
	Let us know if there are any additions, deletions, corrections to be made.
	CASH DISTRIBUTIONS
	Cash distributions are "draws" against the profits of a S corporation.
	If more than 1 shareholder, cash distributions must be paid in proportion to stock ownership.
	Inform us if the distributions are NOT based on stock ownership.
	Post cash distributions to the equity section of your general ledger.
	KEEP PERSONAL AND BUSINESS ACTIVITY SEPARATE
	If personal activity exists, it should be clearly identified as such in your general ledger.
	Also keep it separate when presenting your paperwork to us for tax preparation.
	QUICKBOOKS SOFTWARE - verify/rebuild data file
	Run the "verify" utility of QBs to make sure your data file does not have any "problems."
	If it finds any problems, then run the REBUILD utility.  Always back up your file first.
	S-CORPS – SALARIES for shareholders need to be reasonable
	If you take money out of your corporation, and it is not to repay you for loans, then
	the IRS wants you to meet "reasonable salary" requirements.
	TAX ESTIMATE PAYMENTS - post to your equity section in your general ledger
	Post to a "personal tax payments" account in your equity section.
	NON-DEDUCTIBLE BUSINESS EXPENSES OR LIMITATIONS
	Certain business expenses may be NON-deductible or limited.  Examples would be golf
	club dues and meals and entertainment for clients and/or staff.  If you have such activity,
	please make sure you post it accordingly to bring it to our attention.
	1099 FORMS – independent contractors
	The importance of this subject cannot be over emphasized.  IN GENERAL:
	If you pay any NON-incorporated person or business $600 or more in a calendar year,
	you need to issue a 1099-misc form to that person ( EX: for services or rent.)
	Classifying the worker PROPERLY as W2 or 1099 is very important.
	PAYROLL - if we do your quarterly returns through QuickBooks
	Make sure all employee addresses and social security numbers are entered in your QB file.
	Run the payroll utilities program in QBs to make sure everything is OK.
	Do you have your Federal, GA withholding, and DOL#s?  If not apply now.
	PAYROLL - bonuses
	If you give a bonus to someone who is a W2 employee, remember to withhold taxes!!!!
	PLANNING FOR UPCOMING CASH NEEDS
	Remember, 1st quarter unemployment taxes are usually highest.
	If you expect to owe taxes, plan accordingly by allocating funds.
	NAMES USED IN QUICKBOOKS
	If you added "numbers" or "words" to employee names, remove them.
	EXPENSING VS. CAPITALIZING COSTS - determine how to handle activity
	There is way too much information regarding this subject to include in this checklist.
	If you have such activity, we encourage you to contact us.
	Example - fix a hole in a roof. This is a repair and expensed currently.  But if you replace
	the roof, you need to capitalize and take the expense over a number of years.
	TAX ESTIMATES
	Contact us to calculate a yearend tax estimate for you or to update one we've already done.
	SUGGESTIONS FOR REDUCING YOUR TAX LIABILITY from the BUSINESS side
	The following are SUGGESTIONS only.  They need to be discussed based on facts.
	…..If on accrual basis, clear out uncollectable receivables and record all payables by 12/31.
	…..If on CASH basis, delay receiving customer payments until after 12/31.
	…..If on CASH basis, pay bills before 12/31.
	…..Consider funding retirement plans.
	…..Consider purchasing assets and using "section 179."
	REDUCING YOUR TAX LIABILITY ON YOUR PERSONAL SIDE
	The following are SUGGESTIONS only.  They need to be discussed based on facts.
	…..Fund IRA by 4/15 if income is low enough and not covered by plan at work.
	…..Contact your plan administrator if turning age 70 and 1/2.
	…..Convert traditional IRA in 2010 to ROTH and opt to pay tax 50% in 2011 50% in 2012.
	…..Consider giving appreciated stocks to charity.
	…..Refinance personal debt with mortgage debt if it will help when itemizing deductions.
	…..Transfer assets to lower income children of yours.
	If you plan on transferring any investments to your child or grandchild, contact us to discuss
	the timing.
	REVIEW YOUR PENSION PLAN
	You should periodically update your plan.  If you haven't done so lately, it's time.
	UPDATE YOUR CORPORATION MINUTES
	Contact your attorney to update or make a resolution to waive.
	ANNUAL GEORGIA REGISTRATION
	Make sure you pay the annual registration to avoid your corporation being dissolved.
	GEORGIA DEPARTMENT OF LABOR RATE NOTICE
	The GA DOL should mail you a notice that informs you of what your unemployment
	rate will be NEXT year.  Please forward that notice to us ASAP.
	SETUP ONLINE FEDERAL AND GEORGIA ACCOUNTS
	Setup a federal EFTPS online account for handling federal tax payments and forms.
	Setup a Georgia online account for handling state tax payments and form filings.
	FILE GEORGIA POWER OF ATTORNEY FORMS
	Having a GA POA on file with the State can facilitate our assisting you with
	payroll and sales tax issues.
	SIMPLE IRA - deadline for plan setup, how it can save you tax
	If your business has a SIMPLE IRA setup, please let us know so we can make sure that
	you have it setup properly in QBs.  Establish the plan by 9/30 of THE year contribution is for.
	RENTAL PROPERTY AND LLC
	Have you considered a LLC to hold your personal rental property?
	QUICKBOOKS SOFTWARE - download AND install latest release
	Make sure you have the latest release installed.  Some of the releases are security fixes.
	QUICKBOOKS PROGRAM - should not be more than 2 years old
	Consider upgrading your QB program if more than 2 versions behind.
	PASSWORD in your QB file - we recommend you use one
	If you are not using a password, create one and let us know what it is.
	CHANGE OF ADDRESS
	If your address changes, let us know the new address.  Also update your QB file.
	SALES TAX RATES
	If you charge customers sales tax, make sure you have the correct rates in QBs.
	QBs - accountant's copy
	Let's discuss when to use or not use this feature of QBs.  It can save a lot of time.
	BANKRUPTCY
	To be dischargeable, individual taxes must meet certain "mechanical" rules.
	3 Years since tax was due. 2 years since returns filed.
	GET FAMILIAR WITH THE year-end business CHECKLIST
	Look over the year-end checklist.  If there is something you don't understand,
	please contact us and we will be happy to go over it with you.