Small Business Taxes & Management


Year-End Checklist


Small Business Taxes & ManagementTM--Copyright 2023, A/N Group, Inc.




This is a short year-end checklist of business and personal action you should consider before December 31. For more detail on year-end planning, see our articlesYear-End Planning--Part 1--2023 Basics, Year-End Planning--Part 2--Businesses and Year-End Planning--Part 3--Individuals. Please use the checklist with caution. These are items to consider, not necessarily automatically act on. Economic and investment considerations should come before taxes. While it's hoped most taxpayers will be better off financially next year, that depends on your business and personal situation. How you act on the items below will depend on your tax situation this year and next. Consult your tax professional for help.


Year-End Actions to Consider--Individuals

___Review stock portfolio, balance
___Take unrealized stock losses to offset gains
___Take gains to utilize losses
___Convert regular IRA to Roth
___Take distributions from IRA, (penalty considerations)
___Pay real estate, personal property, estimated income taxes
___Pay mortgage, other deductible interest
___Pay student loan for interest deduction
___Pay rental property expenses
___Last minute repairs/work on rental property
___Make charitable contributions; consider appreciated stock; must itemize for deduction in 2023; get receipts;
___Use donor advised fund for charitable contributions if appropriate
___Gifts to children/relatives under the $17,000 threshold
___Alimony payments (if deductible)
___Take required minimum distributions if necessary
___Take distributions from inherited IRA if 10-year rule applies
___Review home office expenses
___Review alternative minimum tax status
___Consider hobby loss rules for side business
___Use remaining flexible spending account amounts
___Consider accelerating installment notes
___Review deadline for replacing casualty loss property
___Increase salary withholdings if underwithheld
___Close on property sales
___Check for material/active participation in rental properties, S corporations, partnerships, etc.
___Review estimated tax payments
___Make tuition payments to secure tax credits
___Energy credits, exterior doors windows, insulation, solar, solar water heating
___electric vehicle


Year-End Actions to Consider--Businesses

___Review loans to/from business, related parties
___Pay salaries S corp. shareholder-employee
___Consider employee bonuses
___Take required actions that must be recorded in company minutes
___Pay intercompany, related party expenses (e.g., rent, interest, etc.)
___Cash basis businesses pay expenses
___Settle expense accounts with employees (cash basis)
___Equipment purchases, leasehold improvements, etc. (placed in service by Dec. 31)
___Take dividends/distributions from business
___Pay taxes
___Sell or abandon unusable equipment for loss
___Sell or dispose of obsolete inventory
___Consider SEP
___Pay open items (cash method of accounting business)
___Make charitable contributions
___Year-end advertising expenditures
___Close on property sales
___Close on sales deals
___Dissolving entity? Consider doing so before end of year
___Review deadline for replacing casualty loss property
___Consider income and balance sheet positions for reporting purposes
___Check basis/amount at risk/material participation in S corporations, LLCs, partnerships, sole proprietorships
___Collect on outstanding receivables (cash basis business)
___Reconcile and address intercompany balances


Year-End Non-Tax Business Procedures

___Check employee and independent contractor addresses and information
___Third party sick pay info
___Prepare to use new W-4 forms, Federal and state
___Compute benefits reportable as wages (e.g., personal use of company vehicle)
___Prepare for 2024 changes in minimum wage, unemployment insurance, disability insurance, workmen's compensation required Federal and state requirements and benefits
___Review health plans for changes, potential switching


Copyright 2022 by A/N Group, Inc. This publication is designed to provide accurate and authoritative information in regard to the subject matter covered. It is distributed with the understanding that the publisher is not engaged in rendering legal, accounting, or other professional service. If legal advice or other expert assistance is required, the services of a competent professional should be sought. The information is not necessarily a complete summary of all materials on the subject. Copyright is not claimed on material from U.S. Government sources.--ISSN 1089-1536

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--Last Update 12/8/23