Meet with your tax advisor NOW! To do that you must have current financial records and that starts with a balance sheet, income statement and cash flow.
These three financial statements give you critical information about your business. Things like are your assets continuing to grow, liabilities decreasing and owner’s equity increasing? Is your business making a profit and what money have you either paid in or set aside to pay your taxes? Is your financial equation working? In other words; is your revenue growing, cost of goods sold decreasing and gross profit increasing? Are you overspending? Do you understand what your cash flow is telling you and do you have a plan in place to keep from running out of money?
If your records are not current, you have some work to do. Having current financial records so you can meet with your accountant prior to December 31st and put together a strategy is smart planning and can save you thousands of dollars in taxes that after December 31st are no longer an option.