Clear, practical information to help individuals and small business owners maintain better records, understand common tax concepts, and prepare throughout the year.
Business deductions
Many self-employed individuals use their phone for business. If a phone is used for both personal and business purposes, only the business-use portion may qualify.
Keep records showing how the expense relates to your business.
Bookkeeping
Using the same account for personal and business transactions makes bookkeeping harder and can affect tax reporting.
Consider maintaining separate accounts for your business.
Recordkeeping
Receipts help support business deductions.
Digital copies are often easier to organize and maintain throughout the year.
Business structure
An LLC provides a legal structure, but tax results depend on how the business operates and how it is taxed.
Bookkeeping
Monthly bookkeeping helps identify problems early and makes tax preparation easier.
ITIN
An ITIN allows eligible individuals to meet tax requirements. It does not authorize employment.
Vehicle expenses
If you use your vehicle for business purposes, keeping accurate mileage records is important.
Business finances
Separate finances create cleaner records and make your business easier to manage.
Estimated taxes
Self-employed taxpayers may need to make periodic tax payments throughout the year.
Business basics
Revenue is the money your business earns. Profit is what remains after expenses.
Need personalized help?
Mida Firm can help you review your bookkeeping and prepare your business information.
General information only: These tax tips are educational and do not replace advice based on your specific facts and circumstances.