The 5 Most Common Small Business Filing Mistakes To Avoid.

Stacy Abrams

Filing taxes for your small business can be daunting and confusing. You need to file correctly so you don’t get in trouble with the IRS, but there are a lot of rules and processes to keep track of.  

It’s time to simplify your taxes! Let’s go through the most common filing mistakes small business owners make, so you can avoid them this tax season (and the rest of the year).  

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1. Missing or incorrect information

One of the simplest mistakes is forgetting to fill out part of your tax form or entering incorrect information. Even one error could flag an audit or require you to re-file, which can cause late fees and penalties.  

The most common mistakes on tax returns include: 

  • Incorrect or missing SSN or employer ID numbers
  • Misspelled names 
  • Incorrect filing status
  • Computation errors for taxable income, withholding, and deductions
  • Withholding or incorrect estimated tax payments 
  • Failing to sign/date return  



2. Not filing or paying on time

If you miss the filing deadline for taxes, your business could face a 5% penalty per month. This fee will increase each month until you file the return. If you neglect to pay your taxes, the IRS will charge 6% interest and a late payment penalty of about .5% each month after the deadline.  

If you need extra time to pay for your taxes, you should file for an extension. Don’t miss deadlines, or you’ll end up with even more owed money on your plate! 


3. Incorrect expense tracking

The most important way to prepare your taxes for April is thorough record keeping throughout the year. Failing to properly track your expenses can be one of the costliest parts of your taxes (and the biggest headache).  

If you don’t track and categorize expenses, you could miss out on deductions that could save your business a lot of money. There are a lot of deductions you may qualify for like furniture, supplies, advertising, equipment, licenses, mileage, and more.  

Worse yet, inaccurate tracking could land you in hot water if the IRS audits you and you can’t substantiate expenses.  

Make sure you keep all receipts for expenses, payroll, sales, and other costs. This makes potential audits easier and ensures you’re receiving any applicable tax breaks.  

4. Not separating business and personal

Small business owners often pay out of pocket for a lot of business expenses. Blurring this line can actually create a problem when tax time comes around. It can be harder to prove business deductions, and you may misfile between your personal and business.  

To avoid this, you should separate expenses by using separate bank and credit accounts, tracking and storing receipts separately, and paying yourself a salary rather than using business accounts to pay for personal expenses.  

5. Not working with a professional

A lot of small business owners want to cut the expense of taxes by using tax software to do it themselves. This can work for smaller businesses, but you could still miss areas or deductions that a professional would catch. In most cases, working with a professional will actually save you a lot of time, money, and errors.

The tax process can be complicated and painful, so don’t do it alone. Start by downloading our Ultimate Small Business Tax Checklist to get started. The checklist walks you through step-by-step to organize your business taxes all-year long, so you can better avoid errors and streamline the filing process. Download the checklist here. 


About the Author

Stacy Abrams is a founder of TaxFaqs. When she’s not serving her clients, she geeks out on board games, cider, and challenging her friends to top her awesome karaoke skills. She calls Bloomington, Minnesota home.

OUR BEGINNINGS

Tony Kaluzny, Erika Furney and Joan Olech founded the not for profit corporation appropriately named “UPPER CANADA LAND TITLES AND PATENT RESEARCH INITIATIVE” in the spring of 2019 to ask questions of the court regarding private property rights in the Province of Ontario. Having tried for years to get answers to pressing questions, not only through the courts, but by asking various agencies and officials pointed questions, we found that there remains a lack of ability or will to provide answers. Having met through our membership in the Ontario Landowners Association, we jointly became interested in our Crown Land Patents and the deeds that transferred the rights of ownership. We believe that the rights granted by the Sovereign are to be respected. Our mission has been that of researching and compiling relevant information and case law that supports our position. The search engines and information archives available through the internet have made this goal a reality. Thousands of hours and tens of thousands of dollars have got us to where we are today. Our next step is to fund the Challenge and proceed to the Courts.  

What is this challenge worth to you?  

Think about the possibilities of our win! Precedent could result in ALL provincial legislation and policy, ALL municipal bylaw and policy and all associated restrictions put in place by agencies like Conservation, Heritage, OSPCA being limited to public lands.  

If you were to spend a couple of hours with a lawyer discussing your private property issues, it could easily cost you a thousand dollars! And then you’d have to make the choice of whether to retain the lawyer and fight the legislation and policy at a personal cost of at least tens of thousands of dollars.  

But if that same $1000 were contributed to UPPER CANADA LAND TITLES AND PATENT RESEARCH INITIATIVE, which would result in the issuance of a contribution receipt for tax purposes for this joint research and legal undertaking, your money might just get the result we are anticipating. And if we win and the court awards costs, we will be apportioning the funds to you, the contributor…..because this is not for profit!  

Please consider contributing…no amount is too small or too BIG….500 contributions of $1000 should be enough to get this DONE! 

GET Your Private Property Rights BACK!

We need your help now!

PLEASE CONTRIBUTE

Contact

“Upper Canada Land Titles and Patent Research Initiative” 

Anthony Kaluzny, President Phone: (905) 643-2600 Email: akaluzny@cogeco.ca 

Erika Furney, Treasurer Phone: (905) 933-5678 Email: gefurney@gmail.com 

Joan Olech, Secretary Phone: (905) 616-5115 Email: joan.olech@c21.ca

CONTRIBUTIONS  

By Cheque:  

Payable to: Upper Canada Land Titles and Patent Research Initiative  

Mail to: Erika Furney, 51 Thorold Ave., Port Robinson L0S 1K0  

GOFUNDME:  

YOUR PATENTED PROPERTY RIGHTS https://www.gofundme.com/your-patented-property-rights  

What is this challenge worth to you?  

Think about the possibilities of our win! Precedent could result in ALL provincial legislation and policy, ALL municipal bylaw and policy and all associated restrictions put in place by agencies like Conservation, Heritage, OSPCA being limited to public lands.  

If you were to spend a couple of hours with a lawyer discussing your private property issues, it could easily cost you a thousand dollars! And then you’d have to make the choice of whether to retain the lawyer and fight the legislation and policy at a personal cost of at least tens of thousands of dollars.  

But if that same $1000 were contributed to UPPER CANADA LAND TITLES AND PATENT RESEARCH INITIATIVE, which would result in the issuance of a contribution receipt for tax purposes for this joint research and legal undertaking, your money might just get the result we are anticipating. And if we win and the court awards costs, we will be apportioning the funds to you, the contributor…..because this is not for profit!  

Please consider contributing…no amount is too small or too BIG….500 contributions of $1000 should be enough to get this DONE! 

GET Your Private Property Rights BACK!

We need your help now!

THE CHALLENGE

These proceedings will be commenced by way of an application following rules set out in the Ontario Courts of Justice Act and Rules of Civil Procedure. Constitutional Applications are further governed by specific sections of this legislation.  

In keeping with the spirit of the application, this website will share the status of the proceedings and any publicly available documents filed with the Court.  

In addition, updates will be posted in our Facebook group:  

CONSTITUTIONAL CHALLENGE ON PRIVATE PROPERTY RIGHTS  

Please join us at: https://www.facebook.com/groups/436463363803691/

What is this challenge worth to you?  

Think about the possibilities of our win! Precedent could result in ALL provincial legislation and policy, ALL municipal bylaw and policy and all associated restrictions put in place by agencies like Conservation, Heritage, OSPCA being limited to public lands.  

If you were to spend a couple of hours with a lawyer discussing your private property issues, it could easily cost you a thousand dollars! And then you’d have to make the choice of whether to retain the lawyer and fight the legislation and policy at a personal cost of at least tens of thousands of dollars.  

But if that same $1000 were contributed to UPPER CANADA LAND TITLES AND PATENT RESEARCH INITIATIVE, which would result in the issuance of a contribution receipt for tax purposes for this joint research and legal undertaking, your money might just get the result we are anticipating. And if we win and the court awards costs, we will be apportioning the funds to you, the contributor…..because this is not for profit!  

Please consider contributing…no amount is too small or too BIG….500 contributions of $1000 should be enough to get this DONE! 

GET Your Private Property Rights BACK!

We need your help now!

GET Your Private Property Rights BACK!

We need your help now… please contribute. 

CONTRIBUTE

PatentResearch.ca

This website is dedicated to funding a Constitutional Challenge. The purpose of this Challenge will be to raise awareness and answer questions regarding the restrictive statute and policy in place in Ontario that negatively impacts the use and quiet enjoyment of private property. The basis for the Challenge will stem from the original patented land grants or Letters Patent, having been granted before Confederation in the form of contracts by the various reigning Sovereigns.  

Some of the issues that we plan to address involve root of title, lot severance, building permits and fees and land use restrictions such as the greenbelt, the Conservation Authorities Act and the Niagara Escarpment Plan.  

We need your help now… please contribute.  

Our most sincere thanks to the Ontario Landowners Association and Elizabeth Marshall, (Property Rights 101) for getting us headed in the right direction!


CONTRIBUTIONS


By Cheque:

Payable to: Upper Canada Land Titles and Patent Research Initiative Mail to: Erika Furney, 51 Thorold Ave., Port Robinson L0S 1K0  


GOFUNDME:

GET Your Private Property Rights BACK!

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