Regardless of the size of the business, there is no escaping the fact that tax compliance is a mandatory part of operations. Given the complexity of U.S. tax laws, ensuring that your company conforms to all tax regulations requires an in-depth knowledge of rules and procedures. In addition, managing tax obligations may very well be a full-time job. Small-to-medium sized companies that have discovered the advantages of outsourcing their back-office operations to payroll companies have been quick to test drive the tax filing services offered by these companies. The results: less stress from keeping up with compliance deadlines and more time to manage the core business.
Why Outsourcing Works for Emerging and Established Companies
Even when companies are flush with cash, managing the financial aspects of the business is always a priority. The goal is not to cut corners to save on costs, but to find efficient methods to accomplish certain tasks. Typically, human resources functions and administrative tasks have been among the first tasks turned over to professionals at payroll companies. Attendance is monitored through digital devices and results are monitored using digital platforms. The payroll processing system is automated, updated in real time and conveniently accessible to employees anytime.
Payroll preparation includes calculation, collection and remittance of taxes to local and federal tax collection agencies. As such, your payroll preparer would already have access to most of the information needed to file your corporate tax returns.
Tax Filing Services and Efficiency
The tax filing service offered by outsourcing providers is a natural extension of payroll services. The data is already available to the payroll processor so that collating the data, submitting the information and remitting the necessary payment is a logical progression of services provided. Compliance with business regulations ceases to be a major concern because your provider will take over this function. Outsourcing your tax filing services lowers your overhead since fewer personnel will be needed for this task and other back-office functions.
You have every reason to take tax-filing deadlines seriously. Errors and missed deadlines could result in hefty penalties and additional restrictions. Additionally, issues with the Internal Revenue Service and any of its agencies are a matter of public record. Your business reputation and credibility may be affected by seemingly small tax matters.
Tax compliance matters may be more complicated if your business operates in more than one state, or you have employees who live in a state different from their place of work. The experts at payroll companies such as Integrated Payroll Services, Inc. are well versed in navigating these complexities.
Tax Compliance is a Year-round Ongoing Concern
Getting your corporate finances in order is an ongoing effort. Your company may be subject to changing tax regulations as you expand or as the business environment changes. Make sure to stay on top of these matters by taking advantage of the tax filing services provided by payroll companies. Choose a payroll processing provider with expertise in all matters that relate to payroll administration and tax compliance.