Trucking Accounting & Tax Preparation Services

Truckers need tax consultation to avoid unwanted penalties and to ensure that they are paying the correct amount of taxes. The IRS has many rules that truckers must follow, and failure to do so can result in large fines and penalties. A tax consultant can help truckers understand the complex tax laws, https://www.bookstime.com/ and can help them prepare their taxes correctly. This will minimize the risk of penalties, and ensure that the trucker is paying the correct amount of taxes. Accounting, which examines recent incomings and outgoings, maybe a retrospective process, but it must also have a forward-looking component.

The first thing every business owner should do to simplify their accounting is to separate their business activities from their personal ones. The easiest way is to open up a new checking account and credit card and reserve them for business use only. Accounting is one of the least exciting aspects of small business ownership for many owner-operators. However, you can’t afford to neglect it since your responsibilities can quickly become overwhelming if you fall behind. The heavy vehicle use tax has a filing season from July 1 through June 30.

An Introductory Guide To Trucking Accounting

All companies and individuals must file an Annual Income Tax Report according to their earnings or received incomes during the year. We have been working with Logity Dispatch for a year now and I have nothing but good things to say. The service these guys provide is awesome and I don’t need to waste my time searching for loads, billing and all that stuff. Communication, support, market knowledge are on high level and these guys worth the percentage they charge. Logity has been very good for my trucking company, very strong negotiators.

Many trucking companies are eligible to recover GST/HST already paid on purchases. Experienced accountants enable fleets to claim back the maximum refund. That’s another reason paying for tax services is essential for the transportation business. You don’t want to leave money on the table or risk triggering an audit. For example, most small business owners can only take 50% of meal expenses, but truckers are allowed to take 80% of either their actual costs or per diem allowances.

Bookkeeping Vs. Accounting for Trucking

Bookkeeping and accounting are closely related business functions. While they’re theoretically distinct, the line between them is somewhat blurred. Accountants sometimes perform bookkeeping services and vice versa. How much owner operators have to pay in taxes depends on how their business is structured and ranges from 10% up to 37%. We do your taxes for you by finding every deduction you’re entitled to and ensuring your trucking business is structurally optimized. No one enjoys paying taxes, but owing taxes is one the indicators that shows your business is achieving success.

These work much like any other credit card, except they’re tied to a unique driver number and provide fuel discounts. The accrual basis of accounting requires that you recognize revenues when you earn them and expenses when you incur them, regardless of when funds enter or leave your accounts. It takes more work, but it also documents your profitability more accurately.

Bookkeeping and Tax Services

Carriers that operate within Kentucky, New Mexico, New York, and/or Oregon may be subject to additional state permits. The requirements and monthly fees are different for each state. All permit account holders must file a Quarterly Return where the tax amount is calculated based on miles traveled during the reporting period. Returns are required to be filed even if no mileage was accrued. As an experienced trucking accounting company, we keep a constant eye on trends and changes within the industry and offer strategic advice when necessary. One particular area of tax and running a trucking fleet is the issue of zero-rated HST, meaning that trucking companies charge GST/HST at a rate of 0%.

Truckers are often in a precarious position when it comes to their finances. They are on the road a lot and can’t always take the time to prepare their own taxes. We offer professional accounting services to truckers so that they can get their taxes done quickly and easily.

Get In Touch With Truckers Accountant Today

With the Trucker CFO Team on your side, you will be working with experienced professionals who will ask the right questions and provide you with the tools to be successful and maximize your profitability. They are very knowledgeable and they keep up with the trucking industry. Comparing your data to other truckers bookkeeping service owner-operators allows you to see the areas where your business is performing better than your peers, as well as the areas where you can improve. A good bookkeeper will be able to use this information to help you figure out where to make adjustments in your business to both earn and keep more money.

If you’re also using truck management software, you can usually link the two and automate your IFTA responsibilities completely. All businesses need to keep track of their expenses, but it’s more challenging in some industries than others. Unfortunately, trucking is a business that requires you to be particularly diligent in your record keeping.

Industry Trends

The full-service software includes payroll, fleet management, trucking dispatch and IFTA tax calculator, among other things. Q7 is built for truckers and loaded with features designed to help your trucking business operate like a well-oiled machine, whether you’re an independent owner-operator or in charge of a large fleet. Core features include order management, fleet maintenance, payroll, accounting, freight billing and dispatch (truckload, brokerage and less than truckload). Upgrades such as shipment status notification and the mileage interface are an additional charge. We have vast experience with helping trucking companies manage their business finances that ensures that they are setup in a way to achieve success.

We weren’t getting the guidance and recommendations we needed and the ability to translate that into the services that we needed, particular to our situation. With ATBS’ bookkeeping and tax preparation services, you can streamline your back-office processes and invest in the future of your business, saving you both time and money. For example, if you utilize a bookkeeper who offers tax reconciliation services as well as industry benchmarking data, they can help you spot expense documentation you may have forgotten to send.

Run your Trucking Business Worry-free

All of this contributes to a trucking business or freelance operation that is ready and able to fulfill an important role out on America’s roads. Porte Brown accountants have been in business for more than 75 years, under the tutelage of our founder Jim Porte. Our accountants work tirelessly to provide high-quality accounting and audit services to trucking outfits nationwide. Some of the more critical new developments come from fuel costs and the need to be more environmentally friendly. Managing fuel costs is not an easy task considering it directly impacts the profitability of a transportation company.