Profit Centered Accounting is a remote business, meaning that although we are based in Gainesville, Florida, we do not have a physical location nor do we physically work at your business location. Since we exist to serve you and increase your profitability, you can always contact us via phone call, text, email, or video chat.
General
FAQs
Don’t worry. The great thing about having contracted bookkeeping services is that we can mold our packages to fit your individual bookkeeping and accounting needs. Contact us today for your free consultation.
Because PCA operates remotely, we use a cloud-based file storage system to privately and securely exchange information with clients. We take confidentiality and security very seriously.
It depends. Most of our clients already pay for a Quickbooks subscription when they onboard with us. However, we are open cover the cost if the situation is fair.
Accounting & Tax
FAQs
While often confused, bookkeeping and accounting serve separate and distinct functions in the running of a business. Bookkeeping is the function of documenting and maintaining records of transactions. Accounting, on the other hand, is the act of actually analyzing and interpreting the documentation and turning it into meaningful data. While bookkeepers maintain the data needed to file your taxes, an accountant is likely the one who will actually prepare and file your taxes. We take care of all of your bookkeeping and accounting needs.
Our bookkeeping service includes elements of both bookkeeping and accounting. Taxation and the CFO Advisory services have an advisory component in addition to bookkeeping and accounting.
An accountant is in charge of leveraging the tax laws and regulations to keep businesses compliant and ensure it is efficiently operating. This is achieved by determining the best business and tax structure, creating a business plan, compiling, and analyzing financial statements. Most importantly, an accountant would assess the overall health and make recommendations and planning strategies to make decisions that keep your business profitable.
Financial statements are a collection of summary-level reports about an organization’s financial results, financial position, and cash flows. The statements would include a balance sheet, an income statement, and a cash flow statement.
The expenses that are deductible on a tax return that is filed to report the activities of a trade or business are defined in the Internal Revenue Code as those expenses that are ordinary, necessary, and reasonable for carrying on that trade or business.
The types of expenses that one can deduct will depend on the nature of the business being conducted. Expenses could include salaries and payroll taxes, rent telephone, internet and hosting costs, utilities, advertising, certain taxes and licenses, bank charges, office expenses, printing charges, and postage are examples of deductible expenses. If fixed assets are acquired by the business, then depreciation charges to recover the cost of these assets would be deductible.
The term employer payroll taxes will refer to both the employee taxes withheld on payroll, as well as payroll taxes that are borne by the employer. This will involve registration as an employer at both the Federal and state level. As far as the Federal taxes withheld from an employee paycheck, the reporting of this will be done by the quarterly filing of Federal Form 941, the annual filings of Form 940 and Form W-2. These forms have already been previously discussed herein, Federal Form 941 is item number 40 and Federal Form 940 is item number 25. There are also, depending on the state, state reporting requirements insofar as state taxes withheld, state unemployment taxes, and other payroll-related matters. This could include the requirement to have disability insurance coverage as well as worker’s compensation insurance.
Individuals, including sole proprietors, partners, and S corporation shareholders, generally have to make estimated tax payments if they expect to owe tax of $1,000 or more when their return is filed. Corporations generally have to make estimated tax payments if they expect to owe tax of $500 or more when their return is filed.
The quarterly estimated tax payment dates are April 15th, June 15th, September 15th, and January 15th of the succeeding calendar year.
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