“When I became self employed, I knew there was only Amanda that I could trust to make sure my business needs were met. I HIGHLY recommend.”
Tax preparation
Business tax return preparation
Business tax return preparation covers sole proprietorships on Schedule C, partnerships on Form 1065, S corporations on Form 1120-S, and small C corporations on Form 1120. Returns are prepared with attention to deductions, basis tracking, depreciation, and the difference between accounting income and taxable income. Filed on time with the supporting calculation work shown.
Who this is for
What kinds of businesses does this work for?
Business return preparation supports four entity types. Sole proprietors and single-member LLCs filing Schedule C on a personal 1040, multi-member LLCs and partnerships filing Form 1065, S corporations filing Form 1120-S, and small C corporations filing Form 1120. Most clients run service businesses, real estate operations, professional practices, or one-employee S-corps.
Industries we work with regularly include construction trades, professional services, e-commerce, real estate, healthcare practices, freight and trucking, and ministry-adjacent organizations.
What is included
What does business tax preparation include?
- Federal entity return (1065, 1120-S, 1120) or Schedule C on the 1040.
- State income tax and franchise returns where applicable, including multi-state apportionment.
- K-1 preparation and distribution for partners and S corporation shareholders.
- Reasonable compensation review for S corporation owners.
- Depreciation schedule maintenance with Section 179 and bonus depreciation analysis.
- Basis tracking for partners and shareholders so distributions and gain or loss recognition are calculated correctly.
- Year end book to tax reconciliation, including review of common adjustments like meals, entertainment, and personal use of business assets.
- Direct email access to Amanda for follow up questions throughout the year.
Books and records
Do I need to have my books reconciled before you start?
Books should be reasonably current before return preparation begins. The cleaner the books, the less reconstruction time, and the lower the cost.
For clients who keep their own books in QuickBooks, Wave, Xero, or a spreadsheet system, a brief year end review identifies obvious adjustments before preparing the return. For clients who do not have books in good order, we can do reconstructive work as part of the engagement, billed hourly. For clients who want ongoing oversight rather than a year end scramble, Financial Partnerships handle bookkeeping review and tax preparation together on a monthly retainer.
S corporation considerations
Should I be filing as an S corporation?
Whether an S corporation election makes sense is a calculation, not a default. The decision depends on net business income, the reasonable compensation requirement for owner-employees, and the cost of running payroll and a separate entity return.
Under most current scenarios, a sole proprietor or single-member LLC needs sustained net business income above roughly forty thousand to fifty thousand dollars before the S corp election starts to save more in self employment tax than it costs to maintain. We run that math during the intake review.
If an S corp election is appropriate, the election is filed on Form 2553. Reasonable compensation analysis happens during the year, not at filing time. See Advisory Services for project based S corp planning.
Common questions
Business Tax Return Preparation FAQs
How much does business tax preparation cost?
Business return pricing depends on entity type, number of states, complexity of book-to-tax adjustments, and whether basis tracking has been maintained. Standalone Schedule C returns start lower than partnership or S corporation returns. We quote pricing after the intro call once we have seen what is involved with your books and entity structure.
Can you handle multi state apportionment?
Yes. Multi-state apportionment for partnerships and S corporations follows each state's specific apportionment formula, often a single sales factor for service businesses. We handle the apportionment schedules and file in every state where the entity has nexus.
Do you do bookkeeping in addition to taxes?
We do not do day-to-day bookkeeping. We do review your bookkeeping for tax purposes, identify adjustments, and provide oversight on a monthly basis through Financial Partnerships. For clients who need someone to keep books current month over month, we can refer to a bookkeeper and provide tax oversight on top.
When is my business return due?
Partnership 1065 and S corporation 1120-S returns are due March 15 of the year following the tax year. C corporation 1120 returns are due April 15 of the year following the tax year. All can be extended six months. Schedule C returns follow the personal 1040 deadline of April 15.
What if I have not been tracking basis?
Basis tracking is reconstructed from the formation date forward using contributions, income, distributions, and losses each year. For partnerships and S corporations that have not maintained basis schedules, the reconstruction work is billed hourly during the first year of engagement. After that, basis is maintained as part of the annual return preparation.
Related
What else should I read about business returns?
Ready to file your business return?
Start with a fifteen minute conversation. We will figure out the right fit together.