4 Reasons Not to DIY Your Tax Return For Your Small Business

The Problematic Nature of the DIY Approach

As a small business owner, you may be used to taking the DIY approach. After all, you’re most likely a marketer, financial director, HR manager and payroll administrator, to name but a few of your many responsibilities.  

However, while your business may be small, there’s one area that really does call for professional help - and that’s filing your tax return.  

Let’s take a look at four of the main reasons you shouldn’t do your taxes yourself this season.  

‍

1. You’re Not a Numbers Person  

We’d all like to believe that we’re good at absolutely everything, but the truth is that not everyone is good with numbers.  

‍

If you don’t have an affinity for mathematics then doing your taxes yourself is probably not the best idea.  

‍

Even if you’re competent enough at everyday calculations, taxes are a whole different ball game.  

‍

Calculating your taxes is a very complex process; there’s a reason that our accountants have to spend so many years in training.  

‍

A simple mistake on your tax return can cause you to pay the wrong amount of tax and even result in harsh penalties that can seriously threaten your small business. It really isn’t worth the risk.  

‍

2. It’s a Waste of Your Time

‍

Taxes are notoriously time-consuming and as a busy business owner, your time is a precious resource that you can ill-afford to waste.  

‍

After all, the time that you spend doing your taxes is time you can’t spend growing your business.  

It’s important to sit down and think about how much your time is actually worth before you squander it all trying to figure out your taxes.  

‍

Think of time in the same way as you think of money, and learn to invest it wisely.  

‍

‍

3. Tax Laws Change Constantly  

Tax laws change all the time and it can be incredibly difficult to stay on top of all the latest rules and regulations - especially when you already have a business to run.  

‍

When tax season rolls around, the chances are you won’t know about all of the latest changes, which could lead to you making mistakes on your tax return or missing out on new opportunities to save money.  

‍

It’s an accountant’s job to keep up to date on any changes and then take advantage of these opportunities to save you money, so that you pocket as much of your income as possible.  

Remember that a quality accountant will always save you more than their wages.  

4. The Internet is Full of Misinformation  

In this day and age, the DIY approach to any task usually involves several Google searches. The problem is that although the internet is a wonderful resource, it’s full of incorrect or outdated information.  

As discussed, tax laws and deductions change all the time, so the article you’re reading may no longer be accurate. Furthermore, tax rules vary hugely from country to country, so you might end up making a mistake because you read advice that doesn’t apply to your business.  

Sifting through all of this information and checking for veracity is a hugely time-consuming task, so you’re far better off working with a tax professional who has relevant experience within your specific industry.  

‍

With Gow and Partners, you can have your questions immediately answered by someone who knows what they’re talking about. This means no more time wasted falling down Google rabbit holes.  

‍

Summary  

The needs of every business are different, but if the above issues resonate with you then you should consider hiring an accountant when tax season rolls around.  

A great accountant is an investment in the financial health of your business, and will undoubtedly save you a significant amount of time, money and stress in the long run.  

‍

Set Yourself up for Success   

‍  

Did you know that we run the highest rated accountancy firm in Blackburn with Darwen?  

‍ 

Book your 30 minute discovery call  today— enjoy a relaxed, no-obligation chat with one of our qualified accounting advisors. We can assess your situation and determine how to best serve and add value to your business.    

Alternatively, you can send us a message with any queries (big or small), and one of our team members will get back to you promptly.

‍