If you run a small business, you want to make sure that you get your books ready for next tax season. There are a few things that you can do to ensure that your books are ready for 2018.

#1 Make Sure You Are Not Underpaying Your Taxes

You don't want to underpay your taxes as a small business owner. As a small business owner, you have to pay estimated taxes to the IRS. If you underpay your taxes, you are going to face tax penalties that are going to increase the amount of taxes that you have due when you file your taxes.

Compare how much you made this year with your business to what you made last year. If you made about the same amount of money overall, taking into consideration profit and loses, then you should pay about the same amount in taxes that you did last year. If you made more money this year, then you need to pay more taxes before the end of the year.

#2 Purchase New Equipment

If you have equipment that you need to purchase, you may want to get those purchases in before the new year. This will allow you to deduct the cost of putting the equipment into use for this year. This is a good way to reduce your taxable income if you have figured out that you are going to owe some money on taxes but don't have all the extra cash necessary to pay those extra taxes.

#3 Check Your Payroll

Next, if you employ any individuals, you are going to want to make sure that you withheld everything you were supposed to from their paychecks. Also, make sure that you paid the right amount in taxes for all of your employees. Have a professional check your payroll and make sure that you withheld and paid the right amount for each of your employees. It is a good idea to have someone double check your payroll in order to identify any issues that you may have when tax season rolls around. You want to be able to take care of any issues long before tax season rolls around.

As the end of the year approaches, make sure that you have made the right amount of estimated taxes and that you are not underpaying any of your tax obligations. Then, have someone check your payroll to make sure that all of those contributions are correct as well. Finally, if you need to lower your tax obligations, purchase new equipment to reduce your owed taxes and improve your business at the same time. For more information, contact a company that offers small business bookkeeping services.