I have a complete mess of papers with diesel and repair receipts. The confusion is such that I don`t know where to start. Every day that passes the date to prepare corporation taxes approaches and I`m so confused, which causes me an acute stress. I don’t know if I requested an extension of time to the IRS to be able to order the receipts and make the tax report. I should call the tax professional to ask for a suggestion.
This is what goes through most trucker minds.
All deadlines arrive at some point, as well as the day to file your taxes, one of the most critical moments for most truckers. There are several factors that cause this “pre-traumatic syndrome”, because for many, wanting to order their accumulated documents over a long year is boring.
According to the saying that adapts to this situation: "Let`s get it over with", if you have a problem that you don`t know how start to solving it, it’s better to call your accountant. He’ll recommend the steps you should follow.
In addition to the receipts that should be ordered and counted there are other documents that must be sent to the IRS. Did drivers or owners-operators work for you or your corporation in 2019? I hope you haven’t forgot to send the 1099-Misc forms to your drivers before or until January 31. If you didn’t, it’s recommended to do it as soon as possible to avoid excessive fines.
Penalties for late submission of 1099-MISC forms
The fine if you don’t submit a 1099-MISC form before the due date is based on the delay time. The fine is $30 if you file correctly within 30 days, and it increases to $60 per declaration if you file more than 30 days late, but before August 1. And $100 per declaration if you file after August 1 or don’t file any declarations.
You can also incur a separate fine if you don’t provide the 1099-MISC declarations to the beneficiaries on time. The amount is based on the time you provide the correct declaration.
Did you have employees on the payroll?
If you don’t submit a correct W-2 form before the due date and cannot show a reasonable cause, fines may apply for:
- Post due date arrivals;
- Not including all the required information;
- Reporting an incorrect taxpayer identification number (TIN);
- Not reporting a taxpayer identification number, or
- Submitting paper forms that the machine CANNOT read. (This means that you must use a specific form of the W-2 with special red ink, not just a W-2 that copied from the Internet.)