⚠️ Avoid These Year-End Tax Mistakes · The Profit Partners Network

⚠️ Avoid These Year-End Tax Mistakes

Year-end always feels rushed — closing out projects, finalizing numbers, preparing for tax season.

But small accounting mistakes made now can turn into missed deductions, delayed filings, or even IRS complications later.

Here are the most common year-end errors business owners make (and how to avoid them):

1️⃣ Not Reconciling Accounts

If bank accounts, credit cards, or payroll records aren’t fully reconciled, your tax filings will be inaccurate.

Fix: Reconcile everything before January 1 — no exceptions.

2️⃣ Misclassifying Expenses

Wrong categories = lost deductions or possible red flags.

Fix: Review expense classifications while the details are fresh, not months later.

3️⃣ Forgetting Asset Purchases

Equipment, vehicles, software upgrades — if they’re not recorded, you’ll miss depreciation and deductions.

Fix: Update your fixed asset list before closing the books.

4️⃣ 1099 Errors

Late filings or missing W-9s are some of the most common reasons businesses get penalized.

Fix: Collect W-9s now and verify all contractor information.

5️⃣ Mixing Personal & Business Expenses

This leads to messy books, disallowed deductions, and higher audit risk.

Fix: Reclassify personal charges before year-end and tighten internal processes.

✅ Clean Books = Easier Filing + Maximum Deductions

These small steps now prevent big headaches later — and help ensure your tax return is accurate, compliant, and optimized.

📞 Need Help Before Year-End?

At Smith CPAs & Associates, we help businesses close their books cleanly and confidently with:

0 comments

skool.com/the-profit-partners-network-8300

Where like-minded small business growth-minded individuals and companies come to learn how to navigate business and financial growth sucessfully!

Bring people together around your passion and get paid.