EIN Name Date Started Street Address City State Zip Code Please utilize this Tax Organizer to help you gather and organize information relating to preparation of your business income tax returns. Where indicated, additional worksheets and other specialized organizers are available, where you can provide additional important information. If you are a first-time client of Carr s Tax & Accounting Group, please provide us with a copy of the corporation s tax returns for the past 3 years. If you use QuickBooks, Quicken or Excel, you can provide us with a backup file of your records rather than completing the income and expense sections of this organizer. If you have employees, please bring copies of the following documents: Form W-3 (This form is filed with W-2s to report total annual payroll) Federal Form 940 (FUTA) Calendar/Tax year; Federal Form 941 (FICA) quarterly reports for periods ending March, June, September and December of the current tax year; Massachusetts Wage and Employment Detail quarterly reports for periods ending March, June, September and December. If you would like our accounting staff to prepare a business profit and loss for you, we will need you to provide us with the following documents: Business bank statements for all months of the year Credit card statements (for business-use credit cards) Receipts for cash purchases not shown on bank or credit card statements Checkbook register (please identify all checks by entering an expense category in the memo section) To minimize accounting and bookkeeping errors and costs, we strongly recommend you do not mix personal and business expenses. You may transfer funds to and from your business and personal accounts. Identify a personal withdrawal of funds from your business account as Owner Distribution Identify a deposit of personal funds to your business account as Owner Contribution If contributions and distributions were made for more than one owner, provide separate information for each owner. Were payments of 600 or more made to an unincorporated business such as an LLC, a sole-proprietor or landlord, you must issue Forms 1099-MISC to these businesses or individuals. Did you issue Forms 1099-MISC where so required? Yes No If not, do you want us to prepare Forms 1099-MISC for you? Yes No If yes, please provide the following for each unincorporated business: Full Name Complete Address Social Security/Tax ID Number Amount Paid Filing Information. Please answer Yes or No to ALL of the following questions. Is this the first year in business? Yes No State Registered? Does it operate in more than one state, list all. What date did the Business begin operating? Did the Business have a change of business name? Yes No Has there been a change of principal business address? Yes No What is the principal business activity of the Business? What accounting method does the Business use? Cash Accrual Other (describe) Does the Business file under a calendar year? (If not, what is the fiscal year-end ) Yes No Carr s Tax & Accounting Group Small Business Tax Organizer Page 1 of 8
Owner Information First Name Last Name (Enter information for all owners who owned shares at any time ) Social Security Number Owner Mailing Address % of business owned at start of year % of business owned at end of year Dates of share owner-ship change (if any) How many owners were there on the last day of the year? Provide the following information for any owner who was an officer or 2% or more owner of the Corporation. Owner/Officer Name Wages paid to the officer/owner Health Insurance premiums paid for the officer/owner Capital Contributions made by the owner Distributions made to the owner Owner Loans to the Corporation Owner Loans Repaid by the Corporation Carr s Tax & Accounting Group Small Business Tax Organizer Page 2 of 8
Business Revenue/Income What was gross revenue or receipts from sales for the year? What portion of gross revenue was reported on Form 1099-K (provide copies of all Forms 1099-K What were the amount of refunds and return included in gross revenue Did the Business have any other income, not included in gross revenue, from this business activity? Yes No 1 - Other Income: 2 - Other Income: 3 - Other Income: Did the Business have revenue from more than one state? Yes No State: Income apportionment Payroll apportionment State: Income apportionment Payroll apportionment State: Income apportionment Payroll apportionment Cost of Goods Sold (COGS) Do you manufacture or produce a product for sale to customers? Yes No Do you operate a retail or wholesale business and maintain an inventory of goods Yes No What was the cost of total inventory-on-hand on the first day of the year? What was the cost of purchases for sale or resale Cost of labor related to sale or production of goods for sale or resale Cost of Materials and supplies used in the manufacture or sales of products Other costs of goods not listed above (list detail on a separate worksheet) What was the cost of total inventory-on-hand on the last day of the year? Cost of inventory disposed of due to damage, spoilage, obsolescence, etc. (list detail on a separate worksheet) Cost of inventory lost due to theft (list detail on a separate worksheet and provide copy of police report or insurance claim) ASSETS (at Year End) What was the total of all Business Bank Account balances plus Cash on Hand? Accounts Receivable (for balances expected to be or older than 1 year or greater than 1,000, list detail on a separate worksheet) Loans made to Owners Other Assets Security Deposits (on rental property, utilities, etc.) Fixed Asset Worksheet The purchase, sale or other disposition of assets used by the Business must be reported For each asset purchased, traded or disposed of, please provide the following information: Purchased Asset Description/ID Sold/Traded/ Disposed of Transaction Date Purchase Price Sale Price or Trade-in Value Carr s Tax & Accounting Group Small Business Tax Organizer Page 3 of 8
Expense Description Amount Expense Description Amount Advertising Auto (Complete Auto Worksheet, pg 6) Bank Fees and Charges Cell phone (100% of cost) times Pct of Business use %) = Commissions and fees Computers, Equipment, Furniture & Fixtures (Complete the Fixed Asset Worksheet) Contract labor (unincorporated entities paid 600 or more for the year must be issued 1099-MISC) Dues and Subscriptions Employee Benefit Programs Health Insurance (employee) Health Insurance (owner/owner) Insurance (other than health) Business Owners General Liability Worker s Comp Other Insurance Internet service Rent (office, leasehold, storage) (1099-MISC to unincorporated payees required) Rent or lease (vehicles, machinery, and equipment) Repairs and Maintenance Supplies and Small Tools (Do not include equipment purchases; see Fixed Asset Worksheet) Software (Enter on Fixed Asset Worksheet) Taxes Payroll (FICA, FUTA & SUI) Taxes State Taxes Local (Property & Personal Property) Licenses and Permits Annual Report Filings (LLC/LLP) Telephone (business main phone line) Travel (complete Travel Expense Worksheet on Page 5 of this organizer) Parking and Tolls Meals 100% (only 50% will be tax deductible) (enter travel meal expense on Page 5) Entertainment 100% (only 50% will be tax deductible) Interest - Mortgage (business) Wages (copies of Forms W-3, 940 & 941/944) Interest - Business Credit Cards Interest - Business loans/credit line Utilities (Do not include home office) Other Expenses Legal and professional services Office Expense (Report Purchases of Office Equipment on Fixed Asset) Postage & Shipping Pension and Profit-Sharing Plans Professional Education & Training Carr s Tax & Accounting Group Small Business Tax Organizer Page 4 of 8
Travel Expense Worksheet Meal Per Diem (Important facts) For each day a 2% owner of the company traveled away from home for business outside the metro area, the Business may claim the actual cost of owner lodging and meals. For meals only, the Corporation may reimburse the owner a daily per diem amount instead of actual costs. For each day a non-owner employee of the company traveled away from home for business outside the metro area, the Business may choose between claiming the actual cost of employee meals and lodging; or it can reimburse the employee a daily per diem amount for meals and lodging. The daily per diem amount varies depending on the city and country the employee traveled to. To calculate the per diem amount the Business is entitled to reimburse, provide a detailing of each city the employee travelled to for business and the number of days in each city. The Business can alternate between actual expenses and the per diem method for each business trip; however it may not use both per diem and actual for the same business trip. The Business may reimburse a partial per diem if an employee or owner traveled outside metro area for less than a full day. City visited (for per diem) # of days in city. Per Diem Location Visited Days In Location Location Visited Days In Location Travel Expenses Airfare Lodging Ground Transportation Parking & Tolls Meals actual receipts (*) Other Travel Expenses (describe below) Entertainment (*) (*) Do not include cost of meals, if you are claiming the daily per diem rate. Information relating to deductions and credits the Corporation may qualify Yes Did the Corporation purchase a plug-in electric vehicle in 2012? No Details Did the Corporation pay wages to any employees who were members of a targeted Yes No group? Did the Corporation initiate a new 401K plan? Yes No Did the Corporation pay for disabled access equipment or improvements during the Yes No year? Did the Corporation provide for or reimburse employees for childcare expenses during Yes No the year? Did the Corporation make energy-efficiency improvements? Yes No Did the Corporation manufacture or build a product inside the United States? If so, the following additional information will be needed to complete the Corporation s return: Gross receipts from sales of domestically produced product Cost of domestically produced product Expenses, deductions or losses directly allocable to the domestic product Expenses, deductions or losses indirectly allocable to the domestic product Wages paid for the year Yes No Carr s Tax & Accounting Group Small Business Tax Organizer Page 5 of 8
Business Use of Automobile Documentation must be kept to prove business use of Corporation-owned or owner-owned vehicles. If a owner or an employee used his or her automobile for active conduct of Corporation business: The Corporation can provide reimbursement for actual operational expenses of the vehicle or it can reimburse using an allowable standard mileage rate. A written log or other record must be maintained and submitted to the Corporation. For each owner or employee for whom the Corporation paid auto-expense reimbursements, the Corporation should maintain a written record of the expenses incurred and the reimbursements paid. The Corporation may claim actual operational expenses incurred for vehicles that are owned by the Corporation. Proof of business use in the form of a mileage log or a written calendar must be maintained unless it can be shown the vehicle was 100% business use. If the business provided a vehicle for employee use, complete Section B below. For any vehicle that was used by a 5% or more owner of the business, additional information must be reported to IRS. Complete Section A shown below. Section A Provide the following information for each vehicle used by a 5% or more owner of the business Purchase price of vehicle Description (Model and year of vehicle) Date vehicle was first used in your business For this tax year only, enter the number of miles your vehicle was used for: Business miles (Do not include commuting miles) Commuting miles All other personal-use miles Interest paid on auto loan used to purchase this vehicle Was the vehicle available for personal use? Yes No Was the vehicle used primarily by a 5% or more owner of the Corporation? Yes No Is another personal-use auto available? Yes No Was the standard mileage rate used last year? Yes No Section B Additional Questions for Corporations Providing Vehicles for Use by Employees Does the Corporation maintain a written policy prohibiting all personal use of company vehicles? Yes No Does the Corporation maintain a written policy prohibiting all use except commuting? Yes No Does the Corporation treat all use of vehicles by employees as personal use Yes No Auto and Truck Expenses Mileage reimbursement amount paid to owners and employees for the year Provide these expenses if the corporation is NOT claiming the standard mileage rate Garage Rent Repairs Excise Tax Tires Fuel Tolls Insurance Vehicle Rental Lease Payments Other (list separately) Licenses Maintenance Parking Fees Registration Fees Carr s Tax & Accounting Group Small Business Tax Organizer Page 6 of 8
Fixed Asset Inventory Worksheet List all Assets owned but not previously listed Asset Description Asset ID Date of Acquisition Purchase Price or Value Carr s Tax & Accounting Group Small Business Tax Organizer Page 7 of 8
ENGAGEMENT LETTER Thank you for choosing Carr s Tax & Accounting Group to assist with the preparation of tax return(s) for, here-in-after referred to as the Company. This letter confirms the terms of this engagement and outlines the nature and extent of the services we will provide. We will prepare tax year income tax returns for the Company. We will depend on management of the Company to provide the information we require to prepare complete and accurate returns. The law imposes penalties when taxpayers underestimate their tax liability. Carr s Tax & Accounting Group and its personnel are not liable for errors or omissions that result from a failure on the part of the Company s management to fully and properly disclose information needed to accurately complete the Company s returns. Our fees for preparation of the Company s tax returns are based on a fixed schedule. Additional fees may apply if we provide bookkeeping, accounting, consulting or research services. Fees are due at the time services are rendered. To the extent permitted by state law, an interest charge may be added to all accounts not paid within thirty (30) days. We will use information obtained during this engagement for collection of any and all fees due. Company records will be returned to management at the end of this engagement. These records, along with all supporting documents, canceled checks, etc., should be securely stored, as these items may later be needed to prove accuracy and completeness of a return. We will retain copies of the records and our work papers from this engagement for four years, after which these documents will be destroyed. Our engagement to prepare the Company s tax returns will conclude with the delivery of the completed returns to management (if paper filing) or the signing by your tax matters Officer, and the subsequent submittal, of the tax return (if e-filing). If management has not elected to e-file the returns with our office, management will be solely responsible to file the returns with the appropriate taxing authorities. The tax matters Officer should review all tax-return documents carefully before signing them. To affirm that this letter correctly summarizes the arrangements for this work, and that all information provided on the accompanying Small Business Organizer is true and correct, please sign this letter in the space indicated below. Thank you for your confidence in Carr s Tax & Accounting Group. Accepted By: Authorized Officer of the Business Date Carr s Tax & Accounting Group Small Business Tax Organizer Page 8 of 8