It is a statistical fact: Self-employed individuals are much more likely to get audited than regular employees. So we are sharing what we consider to be the Seven Deadly Sins when it comes to being self-employed and your taxes:

Now that you have all of this great information about tax credits, deductions and other tax breaks, (since you've been reading our newsletter all year) you're all set for tax filing. The key to supporting those claims is to keep great records.

Here are some tips to help you figure out which records to keep and how long to keep them:

  • As a rule, keep your tax records and supporting documentation until the statute of limitations runs for filing returns or filing for refund. For most taxpayers, that means that you'll want to keep those records for three years following the date of filing or the due date of your tax return, which ever is later. So, for example, if you file your 2014 tax return on Tax Day, April 15, 2015, you'll want to keep those returns and those records until April 15, 2018.

The Internal Revenue Service has released the 2015 inflation-adjusted deduction limitations for annual contributions to a health savings account.

For taxpayers who owe taxes with their tax returns, the IRS has provided ten tips about how to pay:

  1. Taxpayers should never send cash.
  2. If taxpayers e-file, they can file and pay in a single step with an electronic funds withdrawal. If they e-file on their own, they can use their tax preparation software to make the withdrawal. If they use a tax preparer to e-file, they can ask the preparer to make their tax payment electronically.

Here are some important reminders to help protect you and your business from accounting fraud. These seem easy (and easy to ignore) but implementing these practices can go a long way towards not making you a victim!