Here we go- this form is long. And Yes, it is required for a quality, comprehensive tax return.

Business Worksheet

Note - This information can be found at if necessary. The IRS activity code is important for reporting on your tax returns. This allows the IRS to assess your income and expense ratios against other companies in your industry. For example, realtors will have higher mileage deductions than retailers.


Are there multiple owners or partners in your business? Your spouse will count as a partner if they have any ownership interests in the business as well. If this applies to you, please detail the other owners with addresses, social security numbers and ownership percentages.

Business Startup

Did you start your business in this tax year? If so, did you transfer any equipment, tools, computers, office furniture, etc. from personal use to business use? Please describe below including values at time of transfer.

Did you have startup costs such franchise fees, equipment purchases, attorney fees, formation fees, etc.? If so, please describe them below.

Equipment Purchases

During this tax year, did you purchase any equipment, office furniture, client lists, etc.? If so, please provide copies of invoices or sales agreements, and summarize below.


Vehicle Owned by Business

If your business owns a vehicle that you use personally, you might have to consider that benefit taxable income. Unless your business needs a vehicle for nearly 100% business use, you are typically better off owning it personally and getting reimbursed through an Accountable Plan.

Accounting Records

If you use QuickBooks or MS-Excel for your accounting records, please make sure your bank reconciliations are completed and all transactions are categorized. Double check your entries after reviewing the rest of the categories on this form. Then upload the data file to your client portal. If you are sending a QuickBooks file, please send us the raw or backup file and NOT the accountant copy. Please ensure your name is in the file such as SmithJoe-ABC Company.xlsx.

Even if you use accounting or bookkeeping software, please review and complete pertinent areas of this Business Worksheet to provide the information not contained in your accounting records.

Sales / Income

* All 1099s must be separately reported on your tax return and tied to your business. If a 1099 is received in your SSN but you use an EIN to file your tax returns, we will nominate this income from your SSN to your EIN. In all cases, please send all copies of your 1099s so we can properly record these.



Did you receive a 1099-K from a merchant service such as Amazon or Paypal? These forms typically only include gross sales. If you received one, please describe any personal activity, returns, chargebacks or refunds that are erroneously included on the 1099-K below.


Mileage and Home Office

Vehicle expenses including mileage and business use of your home (home office) are ONLY reported on the respective worksheets and NOT on this worksheet. Use the following links-


Classic Expenses

The IRS is a bit out of touch (shocking, we know), but to ensure accuracy and proper reporting on your tax returns here is the list of common expenses in the order that appears on your Schedule C. Additional expenses follow this list.

Meals and entertainment when visiting with a client or prospect is deductible at 50 percent. Please provide the entire amount spent, and we will reduce the amount according to IRS rules. Meals and entertainment at 100 percent is reserved for things like company parties and meetings.

IRS Disclosure

The IRS requires paid tax professionals and CPAs to ask all taxpayers who deduct travel, meals and entertainment expenses if they have proof or supporting evidence of the expense and the business connection.

Yes    No


Additional Expenses

Issue 1099s

Sorry, we have to ask. The rule is- if you paid more than $600 in rents, services (including parts and materials) or other income payments to any individual or LLC in connection with your trade or business, you are required to complete a 1099-MISC. You also must submit it to the IRS and mail a copy to the recipient. 1099s are typically required to be sent by January 31. Later submissions are allowed but might incur penalties. 1099-MISCs are not required to be sent to corporations.

Yes     No

Yes     No     NA

If 1099s were required to be filed just let us know. Our fee is $20 per 1099. Quick and easy.

S Corp Election

If you are not an S Corporation but you are earning more than $30,000 per year after expenses, you might want to consider making an S Corp election. We can retroactively make this election to January 1 of this tax year and save 8% - 9% percent in taxes. It might cost you $2,000 to save $8,000- but simple math says it is a good idea. We recommend Watson CPA Group for this transition. You can check out their KnowledgeBase articles or their book, The Taxpayers Comprehensive Guide to LLCs and S Corps at:


Do you have a SEP IRA or 401k plan? If so, please detail the contribution amounts made throughout the year, the type of contribution (SEP IRA, 401k profit sharing, etc.), and the dates below.

If you and your spouse operate the business together, but the business is NOT an LLC, partnership or S Corporation, then it might make sense to split the business activity evenly between taxpayer and spouse to maximize Social Security benefits. So, if you are a sole proprietor and you want to split activities, describe each person’s role below.

Cash Balances

Accounts Receivable (if applicable)

Do you recognize income when you are paid (cash based), or when you invoice a customer (accrual based)? It is not uncommon nor is it incorrect to use an accounting package such as QuickBooks to track open invoices and manage your Accounts Receivable, yet use a cash method of accounting. Please describe your system below.

Loan Balances (if applicable)

* Please provide an amortization schedule or some other document detailing the principal payment and the interest payment for the year.


During this tax year, did you receive any new loans or payoff any loans? If so, please include a detailed payment schedule and describe the circumstances below.

During this tax year, did you lend money or make any business loans? If so, please include a detailed payment schedule and describe the circumstances below.

Sales Tax

Did you collect any sales tax in 2018? Does your gross revenue above include sales tax collected? Are all filings current and paid for? Please provide copies of your sales tax filings (if available) and describe below.

Reimbursements, Accountable Plan

The following questions are used to determine if your company should set up an Accountable Plan to reimburse employees and owners for job-related or business expenses. There could be some tax advantages for handling these through an Accountable Plan versus taking a deduction on your personal tax return. Learn more here:

Yes     No

Yes     No

Yes     No

Yes     No

Yes     No

Yes     No

Yes     No


Please select the tax year that this information is associated with. In addition, please enter your name so we can group your submissions together plus your email address. Click the Submit button below to securely and safely send this information to us. You can submit as many forms as needed. If you later discover an error- simply re-submit your information and check the box below letting us know.

Yes     No