User:Millingtown291

It is 2012 and as a business owner, you're most likelytrying to find new ways to  improve your small business  accounting, to not get reamed with taxes and to increase cash flow. There are several things you can do if you want tax time go more smoothly. Here you'll find to remember as you begin the new  year and try to make it in one piece through the tax  season? Family Businesses Should Have a Separate Bank Account  Should the  IRS ever take an interest in you and your small business and  they begin to really dig in to your financial details, you need to realize that they scrutinize  over each and everydetail of money changing between  hands between family members when there's a family business  involved. So if your company is a family business, make sure to use separate bank accounts so there's no  way of being accuse of fraud. Have one for your personal finances and one for your family's small business. It will make financial statement analysis  easier, as the cash flow is easier to clearly understand. Suspicious Activity with Independent Contractors If your  business has a very low number of, the IRS probably won't hesitate to assume  payments you have issued to independent contractors are  fraudulent. So for any payments you issue to contractors, ensure that you're getting a 1099-MISC from the  contractor, as well as a 4669 (Statement of Payments Received). If you are vigilant in making sure you have all of this documentation then you make it easier on yourself to  prove to the IRS all your payments have been  legit. Tracking Receivables that are Overdue Although  some people may take offense, this is something that every money smart entrepreneur will do? when a check is supposedly on the way from a client or customer, politely ask if they can provide you with the check number and the date they wrote it. That way, you can track it easier and you have record of it on hand.