Tax time goes smoother if you originally set up your accounting software using generally accepted accounting categories.

My recommendation is you find a tax preparer (an “enrolled agent” or a certified public accountant) to give you a checklist on how to set up your accounting system so that everything is categorized in a way that makes it easy to report on your business income and expenses.

If your tax preparer properly sets up your categories, you can send them e-documents or spreadsheets from your records.

Your company has a higher chance of triggering an IRS audit by displaying information that is statistically outside the range of your peers. For example, if you declare spending much less or much more than others in your income level, you have a higher chance of getting audited. Something as simple as filling in a handwritten form may increase your chances of audit, because a human being needs to read your writing rather than a computer reading an electronic filing.

Consider your income, your expenses and deductions, and monitor your paperwork from year to year. Keep state and federal filings, and include any very important information like capital expenditures, mortgage information, loan notes, medical bills, and insurance information.

Developing a system to handle all of this information is part of your job as the business owner. When you build in a process for handling mileage, or meals and entertainment, or reimbursement requests, or any other form related to income and expenses, you help organize the company’s internal structure.

By developing your tax procedures and practicing sufficient record-keeping, including quarterly payments, you’ll build up a straightforward and reproducible system to help you and your advisors make tax time stress-free, year after year.