Year-end is one of the most important times for small business tax planning — and most of the best moves have to happen before December 31. Here’s a checklist to work through with your accountant.
✅ Review Your Estimated Tax Payments
Have you paid enough in quarterly estimates? If your income was higher than expected this year, you may need to make an additional payment before year-end to avoid underpayment penalties.
✅ Accelerate Deductible Expenses
If you’re planning to buy equipment, software, or supplies, doing it before December 31 can pull the deduction into the current tax year. Under current bonus depreciation rules, qualifying purchases may be immediately deductible.
✅ Review Your Entity Structure
Is your current structure still the most tax-efficient? S-corp elections, reasonable compensation adjustments, and profit distributions all have year-end implications worth reviewing.
✅ Max Out Retirement Contributions
SEP-IRAs, SIMPLE IRAs, and Solo 401(k)s offer significant deductions. Make sure you’re on track to maximize contributions before deadlines.
✅ Review Accounts Receivable
Any uncollectible receivables you write off before year-end may be deductible. Work with your accountant to evaluate what qualifies.
✅ Check Your California-Specific Obligations
California’s franchise tax, LLC fees, and payroll tax filings have their own year-end considerations. Make sure nothing is falling through the cracks.
At Harlan Willow Accounting Group, we help Fresno small businesses get tax-ready all year long. Contact us for a free consultation before year-end.
