Business Tips and Tricks to Prepare for Tax Season

Tax season preparation for businesses often begins in the first quarter of the year. There’s paperwork to be organized, deadlines to meet, and countless forms to double-check — all to ensure your return is filed accurately.

With April approaching, many everyday business decisions can significantly impact your overall tax payments. Planning ahead allows your company to stay organized when the paperwork comes rushing in during the first few months of the year.

Whether you're preparing to file your income tax return or planning ahead for 2026, here are five essential steps to ensure your business taxes are accurate, compliant, and stress-free.

5 Tips & Tricks for Tax Time From Tax Pros

1. Decide Who Will Prepare and File Your Taxes

If your business experienced major changes this year — such as expansion, restructuring, or new income streams — your taxes will likely be more complex. In that case, hiring a CPA or professional tax preparer can help prevent costly errors.

Just don’t wait until the last minute. Waiting until April often means paying premium rates or struggling to find someone available to help.

2. Examine Previous Year’s Tax Returns

Most small businesses experience only minor tax changes year to year. Reviewing prior tax returns helps ensure you don’t overlook common areas such as interest, dividends, carry-forward balances, or underused deductions.

This review also provides valuable insights into what worked (and what didn’t) in your prior filing process.

3. Can’t Afford a Tax Professional? Explore Free Options

If hiring a CPA isn’t in the budget, there are free or low-cost programs that can help:

• Free File Alliance: Offers free e-filing for taxpayers earning under $73,000 annually.

• VITA Program: Provides free tax preparation from IRS-certified volunteers for individuals under $60,000 or with limited English proficiency.

• AARP Foundation Tax-Aide: Assists taxpayers aged 50+ or those unable to afford professional services.

These programs ensure you get accurate help without the financial strain.

4. Automate or Outsource Tax Filing

Filing taxes manually is tedious, stressful, and prone to errors. Consider using tax software or outsourcing to a bookkeeping firm that integrates automation tools.

Automated tax platforms help you track refunds, calculate deductions, and file electronically — saving time and improving accuracy.

If your income exceeds $150,000, or you’ve had major changes such as selling assets, starting a business, or dealing with complex investments, hiring a CPA is worth every penny.

5. Collect and Reconcile Bank Statements Early

Before tax season hits, organize your bank statements and reconcile them with your financial records. Your accountant will use these to verify that your income and expenses match your balance sheet.

Staying proactive ensures fewer surprises — and potentially fewer IRS inquiries.

Final Thoughts: Plan Ahead for Tax Time

Paying taxes is an unavoidable part of running a business — but it doesn’t have to be a nightmare. Preparing early, reviewing past filings, and consulting a professional when necessary can save you time, money, and stress.

Still have questions about your business tax obligations? Schedule a free consultation with one of Today CFO’s certified accountants and make this tax season your easiest yet.