Self Employment Accounting and Tax Services

“The whole process from start to finish was seamless. Glen was a pleasure to work with; efficient, kind and helpful! We will be using EAS Income Tax Services for all of our tax needs in the future!”

Paul H.

Tax Preparation and Planning for Self-Employed Individuals

Tax preparation for self-employed individuals involves more than just filling out forms. With unique income sources, deductions, and compliance requirements, self-employment taxes can be complex and overwhelming. At EAS Income Tax Services, we specialize in simplifying this process while helping you minimize your tax liability and stay compliant with IRS regulations.

The Self-Employment Tax Landscape

As a self-employed individual, you’re responsible for more than just income tax. Unlike W-2 employees, you pay both the employer and employee portions of Social Security and Medicare taxes, also known as the self-employment tax, which totals 15.3% of your net earnings. These taxes are in addition to your federal and state income taxes.

Without proper planning, these obligations can create unnecessary financial strain. That’s why we provide tailored tax strategies to help you reduce your tax burden while maximizing your income.

Key Tax Considerations for Self-Employed Individuals

Reporting Income from Multiple Sources

Self-employed individuals often have multiple income streams, whether from freelancing, running a small business, or consulting. Accurately reporting all income—whether it comes through 1099-NEC forms, cash payments, or third-party payment processors (e.g., PayPal, Stripe)—is crucial to avoid IRS scrutiny.

We help you:

• Track and organize your income sources.
• Reconcile bank statements, invoices, and records.
• Ensure that all earnings are properly reported.

Maximizing Deductions

As a self-employed professional, you’re eligible for a wide range of deductions that can significantly reduce your taxable income. Common deductions include:

• Home Office Deduction: If you use part of your home exclusively for business, you can deduct a portion of rent, mortgage interest, utilities, and maintenance.
• Vehicle Expenses: Deduct business-related mileage, fuel, maintenance, and depreciation costs.
• Health Insurance Premiums: Deduct premiums for yourself, your spouse, and your dependents.
• Business Supplies and Equipment: From laptops to office furniture, we’ll help identify deductible business purchases.
• Retirement Contributions: Contributions to self-employed retirement plans (e.g., SEP IRA, Solo 401(k)) are tax-deductible and help you save for the future.
• Meals and Entertainment: Deduct 50% of meals that are business-related, including client meetings and travel meals.

Our team ensures that no deduction goes overlooked, saving you money while staying compliant with IRS rules.

Quarterly Estimated Tax Payments

Self-employed individuals don’t have taxes withheld from their income like W-2 employees. Instead, you’re required to make quarterly estimated tax payments to cover your income tax and self-employment tax obligations.

We assist you by:

• Calculating your estimated tax payments accurately based on your projected income and expenses.
• Setting reminders for payment deadlines to avoid penalties.
• Adjusting your quarterly estimates as your income fluctuates throughout the year.

Handling Depreciation and Asset Tracking

If your business involves purchasing large assets, such as equipment, vehicles, or machinery, you may be eligible to deduct their cost over time through depreciation. We’ll guide you on:

• Whether to take bonus depreciation or Section 179 deductions for immediate tax savings.
• Accurately tracking and reporting the use of business assets.

Self-Employment Tax Deduction

While self-employed individuals pay the full 15.3% self-employment tax, you can deduct half of it on your tax return. This deduction reduces your taxable income, helping to offset the tax burden.

Tax Planning for Long-Term Success

Tax planning is not just about preparing for the current year—it’s about setting yourself up for future success. We offer customized tax planning strategies that align with your financial goals.

Retirement Contributions and Savings Plans

We help you take advantage of tax-advantaged retirement plans designed for self-employed individuals, such as:

• SEP IRA: Contribute up to 25% of your net earnings, up to $66,000 (for 2023 limits).
• Solo 401(k): Allows for employee and employer contributions, potentially enabling you to save even more.

These plans not only reduce your taxable income now but also secure your financial future.

Income Splitting

For married self-employed individuals, income splitting can be an effective strategy. By hiring your spouse or forming a partnership, you may be able to lower your overall tax liability while building wealth together.

Tax Credits

In addition to deductions, we’ll help you identify tax credits that you may qualify for, including:

• The Earned Income Tax Credit (EITC).
• Energy efficiency credits for home office improvements.
• The Child Tax Credit, if applicable.

Audit Support, Representation, and Tax Resolution Services for Self-Employed Individuals and Entrepreneurs

Navigating an IRS audit or resolving tax problems can feel overwhelming, especially for self-employed individuals and entrepreneurs. At EAS Income Tax Services, we provide expert support to help you handle these challenges with ease. From defending you during audits to resolving unpaid tax debts, we offer tailored solutions that protect your financial interests and give you peace of mind.

As a leading tax accountant in Atlanta, we’re here to make IRS problems a thing of the past. Glen L. Graves II, CPA, and Certified Tax Resolution Specialist, leads our firm with a proven track record of resolving even the most complex tax situations.

Audit Support and Representation

If you’ve been notified of an IRS audit, don’t panic. Audits are common for self-employed individuals, entrepreneurs, and small business owners due to the nature of their income and deductions. With proper preparation and expert representation, audits can often be resolved without unnecessary financial strain.

Tax issues like audits, unpaid taxes, or penalties can be especially daunting for self-employed individuals, entrepreneurs, and small business owners. Without proper guidance, these challenges can disrupt your finances and business operations. At EAS Income Tax Services, we provide expert tax resolution services, audit support, and representation to help you address these problems with confidence.

Led by Glen L. Graves II, CPA, and Certified Tax Resolution Specialist, our team is dedicated to protecting your rights and resolving IRS issues efficiently. Whether you’re navigating a tax audit or need help settling tax debt, our specialized services ensure a stress-free and successful resolution.

How We Help During an IRS Audit

1. Comprehensive Audit Preparation
   Our team starts by reviewing your tax return and the IRS notice to determine what triggered the audit. We’ll gather all necessary documents—receipts, business records, financial statements—and prepare a clear, organized response.
2. Direct Representation with the IRS
   As your authorized representative, we manage all communication with the IRS on your behalf. You won’t need to attend meetings or respond to inquiries alone. Our goal is to handle the process from start to finish, allowing you to focus on running your business.
3. Strong Defense of Your Tax Filings
   We provide thorough documentation and detailed explanations to support your tax return. Whether it involves income discrepancies, business expenses, or deductions for your self-employed tax preparation, we’ll advocate for your position and ensure your rights are protected.
4. Efficient Audit Resolution
   We work diligently to resolve your audit as favorably and quickly as possible. If adjustments to your return are proposed, we review them carefully and appeal any unfair or inaccurate assessments.
5. Post-Audit Support
   If additional taxes are owed following an audit, we’ll develop a plan to address the balance. This may involve negotiating with the IRS to secure payment plans, penalty abatement, or other relief options.

Tax Resolution Services for Self-Employed Individuals

Unresolved tax problems like unpaid taxes, penalties, or liens can create significant financial challenges for individuals and businesses. At EAS Income Tax Services, we specialize in providing tax resolution services Atlanta clients trust, helping you regain control of your financial situation and resolve IRS issues permanently.

Common Tax Problems We Solve

1. Unpaid Tax Balances
   If you owe back taxes, the IRS may impose penalties and initiate aggressive collection actions. We help you address unpaid balances with solutions like:

• Installment Agreements: Spread your payments over time with manageable monthly plans.
• Offer in Compromise (OIC): Settle your debt for less than the total amount owed if you qualify.

2. IRS Penalties and Interest
   Penalties and interest can significantly increase your tax debt. We’ll determine if you qualify for penalty abatement due to reasonable cause (e.g., illness, natural disaster) or first-time penalty relief.
3. Tax Liens and Levies
   Tax liens and levies can disrupt your finances and jeopardize your assets. We work quickly to:

• Request lien withdrawals or subordinations.
• File appeals or request levy releases to protect your bank accounts, wages, or property.

4. Unfiled Tax Returns
   If you have unfiled tax returns, the IRS may file a substitute return on your behalf—often without applying eligible deductions. We’ll prepare and file overdue returns accurately, ensuring all possible credits and deductions are applied.
5. Payroll Tax Problems
   For small businesses and entrepreneurs, unpaid payroll taxes can lead to steep penalties and even business closures. We resolve payroll tax issues and help you implement compliance systems to prevent future problems.
6. Audit Reconsideration
   If you disagree with the results of a prior audit, we can file for audit reconsideration and present new evidence to challenge the IRS’s findings.

Our Tax Resolution Process

1. Initial Consultation
   We begin by analyzing your tax situation, reviewing IRS notices, and understanding your financial circumstances.
2. Ensuring Compliance
   To move forward, all required tax returns must be filed. We’ll prepare any missing returns and bring your account into compliance.
3. Negotiating with the IRS
   Our team negotiates directly with the IRS on your behalf, using programs like:

• Currently Not Collectible (CNC) Status for financial hardship cases.
• Installment Agreements for manageable monthly payments.
• Offer in Compromise to settle your tax debt for less than owed.

4. Resolution and Prevention
   Once your tax issue is resolved, we provide tools and advice to help you stay compliant and avoid future IRS problems.

Why Choose EAS Income Tax Services for Self-Employment Tax Needs?

At EAS Income Tax Services, we’re not just accountants—we’re experts in resolving IRS issues for self-employed individuals, entrepreneurs, and small business owners. Here’s why we stand out:

Certified Expertise

Led by Glen L. Graves II, CPA, and Certified Tax Resolution Specialist, our firm offers unmatched experience in tax preparation, audit defense, and tax resolution services.

Personalized Solutions

We tailor our strategies to your specific needs, ensuring the best possible outcome for your financial situation.

Proactive Advocacy

We’re committed to defending your rights and working tirelessly to secure a favorable resolution, whether you’re facing an audit or tax debt.

Stress-Free Process

Dealing with the IRS can be overwhelming. We manage every detail for you, making the process as smooth and stress-free as possible.

Entity Selection and Startup Services for Self-Employed Individuals and Small Business Owners

Choosing the right structure for your business is one of the most critical decisions you’ll make as a self-employed professional or small business owner. The right entity can help you save on taxes, protect your personal assets, and set the stage for future growth. At EAS Income Tax Services, we simplify this process and provide all the essential startup and operational support you need to get your business running smoothly.

Choosing the Right Business Entity

The structure of your business impacts everything from taxes to liability to day-to-day operations. We help you weigh the pros and cons of various options, such as:

• Sole Proprietorships: Simple to set up, but personal liability isn’t separated from business liability.
• Limited Liability Companies (LLCs): Popular for their flexibility and liability protection, ideal for many small businesses.
• S-Corporations: Offers tax advantages like reduced self-employment taxes while still providing liability protection.
• C-Corporations: Best for businesses planning to raise significant outside investment, but they face double taxation.

Our team will explain how each entity affects your taxes, compliance requirements, and overall financial health. Once you’ve decided, we’ll help you register your business correctly.

LLC Formation and Registration

Many self-employed individuals and small business owners opt for an LLC because of its liability protection and tax flexibility. At EAS Income Tax Services, we can guide you through every step of forming and registering your LLC, including:

• Filing Articles of Organization with your state.
• Obtaining an Employer Identification Number (EIN) from the IRS.
• Drafting an Operating Agreement to outline your business’s structure and procedures.
• Ensuring compliance with local business licenses and permits.

Setting Up a Bookkeeping System

Accurate bookkeeping is essential for staying organized and understanding your business’s financial health. We help you implement a streamlined bookkeeping system that meets your needs. This includes:

• Setting up accounting software such as QuickBooks or Xero.
• Categorizing income and expenses correctly to maximize tax deductions.
• Establishing procedures for tracking receipts, invoices, and payments.

With our support, you’ll always have an accurate picture of your financials.

Payroll Setup and Management

If you’re planning to hire employees—or even pay yourself as the owner—you’ll need an efficient payroll system. We’ll assist you in:

• Setting up payroll systems that comply with tax laws.
• Calculating withholdings for income tax, Social Security, and Medicare.
• Managing direct deposits and payroll schedules.
• Filing payroll tax returns and making timely tax deposits.

By ensuring compliance with payroll regulations, we eliminate the stress of managing employee compensation.

Monthly Financial Reports

As a business owner, staying on top of your finances is critical for decision-making and tax preparation. We provide monthly financial reports, including:

• Profit and Loss Statements (Income Statements) to track your revenue and expenses.
• Balance Sheets to show your assets, liabilities, and equity.
• Cash Flow Statements to monitor your inflows and outflows.

These reports give you the insights you need to manage your business effectively.

Sales Tax Reporting and Compliance

If your business sells products or services subject to sales tax, you’ll need to stay compliant with state sales tax laws. We can:

• Determine your sales tax obligations based on your business location and activity.
• Register your business for sales tax permits.
• File monthly, quarterly, or annual sales tax returns on your behalf.
• Keep accurate records to prepare for potential sales tax audits.

Proper sales tax management protects your business from penalties and ensures compliance.

Annual 1099 Filing

If you hire independent contractors, you’re required to issue Form 1099-NEC for their payments. We simplify this process by:

• Keeping track of payments to contractors throughout the year.
• Verifying contractor information, including W-9 forms.
• Preparing and filing 1099 forms with the IRS.
• Distributing copies to contractors to meet IRS deadlines.

With our support, you’ll never miss an important filing deadline.

Why Work With EAS Income Tax Services for Startup and Entity Management?

At EAS Income Tax Services, we’re more than just accountants—we’re your trusted advisors for all aspects of your business. Our expertise in entity selection, tax planning, and financial management ensures that your business is set up for success from the very beginning.

Expert Guidance Tailored to Your Needs

Every business is unique, and we take the time to understand your goals before recommending the best strategies for your situation.

Comprehensive, End-to-End Support

From forming your LLC to managing payroll and tax filings, we handle the details so you can focus on growing your business.

Long-Term Financial Partner

We’re here to support you at every stage of your journey, providing the tools and advice you need to achieve financial success.

Get Started Today

Whether you’re launching a new venture or need help optimizing your existing business, EAS Income Tax Services is here to guide you. Let us take the stress out of entity selection, accounting, and compliance, so you can focus on doing what you love.

Contact us today to schedule a consultation. Call us at (404) 719-0330, email us at GLG@eas.tax, or book an appointment using our Calendly link.

If you know of anyone in need of assistance with accounting, tax preparation, or resolving an IRS problem, please refer them to us. We’re always ready to help!