Are you running your business at peak performance? Call us to increase efficiency, stay in compliance, and boost revenue and profits.
Lake Stevens Tax Service provides complete payroll services for over 240 companies! We support a variety of payroll schedules; including weekly, bi-weekly, semi-monthly or monthly payrolls.
We offer quick payroll processing with most payroll calculations; typically responding within hours after you submit your payroll data.
Payroll services also include the filing of all IRS reports, including:
- Form 941
- Form 944
- Form 940
- Year-end W-2’s & W-3’s (submitted to the Social Security Administration)
- WA State Labor & Industries Reports
- Employment Security Department Reports
Not only will we prepare the forms as needed, but we can also represent you for any audit that may arise for your business. Please contact our office to learn more about how we can help fulfill your business payroll needs.
The United States IRS requires that all corporations file tax returns annually, regardless of whether or not the company was profitable during the tax year with form number 1120. Corporate tax returns are needed for businesses who have incorporated as either C-corporations or S-corporations. Many business owners choose these legal business structures because it may be advantageous for the business to pay tax on profits instead of the owner.
C-corporations pay tax on all profits, minus any deductions. S-corporations have the option to choose to be taxed as a corporation or as a partnership where the business is treated as a “pass-through entity” and the profits are passed on to the owner and taxes collected via his or her personal tax returns.
Corporate tax returns are typically due on March 15th each year, however, corporations may request a six-month extension. Any corporations with more than $10 million in assets must file their returns online. An accountant is able to file online on behalf of the business, but the paperwork must be filed electronically. Corporations are able to make installment payments in April, June, September, and December.
What Information is Included on Corporate Tax Returns?
Corporate tax returns detail the company’s profits and expenses to determine the amount of tax the company owes to the US government. The return comprises of several schedules that detail information such as the costs of goods sold, dividends and deductions, officer compensation, details about the accounting method used, business type, NAICS classification number, balance sheets, and the reconciliation of income and loss.
Information and Documents Necessary for Corporate Tax Returns
The information necessary to file corporate tax returns includes the name, address, employer ID number, date of incorporation, and the total assets. The corporate financial officer will need to supply details about the corporate income including:
- Gross receipts
- Cost of goods sold
- Capital gains
What Expenses Can I Deduct on Corporate Tax Returns?
Corporations are able to claim many tax-deductible expenses against income. The financial officers of the corporation should be tracking these details throughout the year and be able to supply full documentation in the case of an audit. The deductible expenses include:
- Officer compensation
- Other salaries
- Repairs and maintenance
- Taxes and licenses
- Interest expenses
- Charitable contributions
- Pensions and profit sharing plans
- Employee benefit programs
- Domestic production activities
- Other miscellaneous deductions
Special rules for foreign investors
Corporations owned by non-US residents must file corporate returns. Non-US residents should seek advice from an international tax expert when opening a business in the US as well as when filing taxes. Under US tax law, non-residents may own shares in a C-corporation, which may be subject to double taxation of profits at the corporate level and at the personal level for dividends received by shareholders. Alternatively, LLCs will pass on all of the profit to the owner who will then need to file personal tax returns with the IRS.
The United States has some of the strongest global markets, but some argue that it also levies the highest corporate tax rates among developed nations. There is a debate on whether or not the US corporate tax rate is actually higher, especially when all of the deductions and credits are taken into account.
Once upon a time many years ago, Sandy our co-founder, was a licensed daycare provider in the state. She did this for several years then started preparing tax returns and conducting seminars on the intricacies of daycare taxes.
Over the years Lake Stevens Tax Service traveled around Washington State holding those seminars; educating daycare providers about regulations and available tax deductions that many providers never knew existed. The number of clients using Lake Stevens Tax Service to prepare their returns grew and grew until we were providing over 250 daycare returns each year!
Daycare provider tax returns are a central part of our practice, please contact our office to learn how we can help with your daycare tax needs.
We have special daycare worksheets that we can provide to help you organize your expenses. If you are new in the business, we can schedule a business consult so you will not be wasting time tracking expenses that cannot be deducted. We can save you time by showing you EZ ways to track mileage, hours of operation, and office-in-home expenses.
Payroll for Daycares
We can help you set up payroll for your daycare so you can take the expense deductions and protect yourself from liability. Many daycare providers fail to understand the danger of not handling payroll properly.
- Did you know that paying employees “under the table” is not only illegal but hurts you on the tax return?
- Did you know that paying your children is possible and could save you thousands on a return?
- Did you know that unless you pay employees properly you are liable for any employee injuries, unemployment when they leave, court actions if any child is injured by that employee, etc.?
- Did you know your homeowners’ insurance may not cover you unless you are in compliance with all regulations for hiring employees correctly!
WA State Regulations
We can help you comply with the numerous regulations; that not only the IRS imposes, but also all those regulations established by the State of Washington.
Although QuickBooks is designed for the layman to understand, the initial setup and installation must be done correctly in order for future information to be accurate.
All information necessary to setup manual accounting records is also necessary to set up and install QuickBooks on your desktop or online. This task is even more complicated if you switch from manual accounting operations to QuickBooks in the middle of the year.
Which accounting method will you use? What chart of accounts do you need for your business? How do you handle beginning balances?
Being a Quickbooks Pro Advisor, Lake Stevens Tax Service can easily answer all of these questions and complete the initial setup and installation in a timely manner. In addition, your accounting employees receive training on the accounting software to enhance their performance.
How much does it cost? We first want to find out a little more about your business and your accounting records before we quote you an exact price. Rest assured that we work with many small business owners and our rates are designed to fit the budgets of our clients.
As with any accounting software program, installation and training take time – time is taken away from managing your business. Here’s a short list of the services we provide during your QuickBooks setup:
- Study and evaluate your software and accounting needs.
- Recommend software and hardware requirements.
- Install software, design and set up a chart of accounts and entire accounting package including payroll, accounts receivable, inventory, accounts payable, etc.
- Determination of your QuickBooks starting date.
- Loading your chart of account and balances as of that starting date.
- Preparation of a list of the items that you sell to your customers. This list includes services, inventory parts, non-inventory parts, other charges and sales taxes.
- Entering your outstanding accounts receivable and accounts payable details as of your starting date.
- Entering your ending statement bank balances and outstanding checks and deposits in transit as of your starting date.
- Entering your transactions since your starting date into QuickBooks
- Train client or client staff in use of software to meet their accounting, management and tax needs.
- Follow up training to ensure you are “on the right track”.
- Monthly, quarterly or annual review of your QuickBooks data to assist in tax preparation and management reports.