By Drew Granthum
While April is generally considered a beautiful time of year, with winter’s cold weather finally moving on, there is something about the month that can send chills down anyone’s spine: Tax Day.
April 15 is the deadline for all citizens to file their income taxes, and for those who are new to the process, this can be a frightening time. Although tackling taxes can be an intimidating task, there’s no need to fear; in fact, there are plenty of professionals willing to help you.
Professionals such as Crystal Russell, of Hull and Russell, P.C. in Clanton, who said there are certain procedures to help make filing easier on you and those who you choose to assist you when it comes time to file.
“In regard to making the tax filing process easier, have your deductions itemized and totaled by category,” she said. “We provide our clients a tax organizer which helps in organizing their information, and also serves as a reminder of the things they can deduct.”
Russell also said that those filing should be sure to explore all deduction possibilities.
“[There] are some of the more common deductions which taxpayers tend forget,” she said. “[Such as] tax on real estate and ad valorem taxes on car tags.”
While there are plenty of professionals out there who specialize in all things taxes, some people insist on braving it and taking on their taxes by themselves. This has become easier in recent years with the addition of personal computers and aided greatly by programs such as TurboTax.
In addition to the help provided from user-friendly programs, even the IRS is providing assistance to those who choose to file on their own. Their website offers several pages of tips and guidelines to help even the most novice tax filer.
In theory, taxes are the great equalizer; everyone has to pay them, from the smallest business to the largest company. That said, you might be surprised how similar personal tax filings and business tax filings are.
In fact, in some instances, they’re the same thing.
Ann Glasscock, owner of MorLyn’s Jewelers in Clanton, said she files her personal and business taxes together.
“We keep them separate, but they’re filed together,” she said. “We keep notes [for] each account. I give [my accountant] three separate piles, one for personal, one for business, and one for real estate property we have.”
The reason Glasscock does so is because she and her husband own MorLyn’s through a proprietorship, or an unincorporated business owned by a sole entity that is entitled to its profits.
“We filed for LLC in November,” she said. “[When we are granted it], we will file for business, and will have to file two separate accounts.”
While they have to file separately from their personal accounts, large business filings aren’t all that different from personal ones, either, according to Franklin IronWorks CEO and President Allen Franklin.
“Basically, there’s not a whole lot of difference,” he said. “We have a tax accountant we give our information to. In a business, for what we do, we provide information and they come back and let us know what we owe.”
Except for different forms and a few write offs, Franklin said the resemblances were very close.
“Not much unlike [personal filing], maybe a few more deductions,” he said. “[With] personal [filings one can] file a short form or a long form. I would suspect most businesses file long form.”
While the similarity of all tax forms might ease the intimidation of tax season, Russell said tax season never truly ends; in fact, you can get tax help just about any time of year.
“We provide bookkeeping, business taxes and auditing services for small business, non-profit, and governmental entities,” she said. “In addition to individual income tax preparation.”
For more information on how to file for yourself, or how to better prepare your taxes for professional help, visit www.irs.org.