5-Step Guide to Preparing for Your Accountant

If you filed for an extension on your taxes, you’re not alone. Many small business owners and individuals need extra time to get their records in order.

But here’s the thing: October 15th will be here before you know it. The earlier you start preparing, the smoother the process will be for you and your accountant.

Whether you’re catching up on bookkeeping or need to gather final documents, this guide will walk you through five simple steps to make tax time stress-free. Plus, grab my free Tax Prep Checklist at the end to stay on track.

Step 1: Get Your Financial Records Up to Date

Before your accountant can work their magic, your books need to be clean and complete.

If you use accounting software (like QuickBooks):

• Make sure all bank and credit card accounts are fully reconciled through at least September 30th.

• Categorize all income and expenses correctly.

• Check for any “Uncategorized” or “Ask My Accountant” transactions and assign them to the right accounts.

• Verify that loan payments, payroll, and sales tax are recorded correctly.

If you don’t use accounting software:

• Gather all your receipts, invoices, bank statements, and credit card statements.

• Consider hiring a bookkeeper to get everything entered before October—this will save you time and avoid last-minute panic.

Step 2: Collect All Necessary Tax Documents

Your accountant will need more than just your books. Start pulling together supporting documents now so you’re not scrambling later.

Here’s what to gather:

• Bank & Loan Statements – Year-to-date for all accounts

• Payroll Reports – If you have employees or contractors

• 1099s & W-2s – For income you’ve received or paid out

• Sales Tax Filings – If applicable

• Mileage Log – For vehicle deductions

• Home Office Receipts – Utilities, internet, property taxes, etc.

• Loan & Interest Documents – PPP, EIDL, or other loans

• Receipts for Major Purchases – Equipment, furniture, etc.

Step 3: Review Your Chart of Accounts

This is the time to clean up your categories so your accountant gets accurate reports.

• Combine duplicate accounts (like “Marketing” and “Advertising”).

• Ensure that owner draws and contributions are accurately separated.

• Verify that assets, such as computers or vehicles, are recorded under the correct account type, not simply lumped into expenses.

• Look at expense categories to ensure everything is deductible and easy to understand.

If you’re not sure how to do this, a bookkeeper can review your chart of accounts and make adjustments before you hand over reports to your CPA.

Step 4: Run Key Reports for Your Accountant

Your accountant doesn’t need every detail—just the right summary reports.

The most common reports they’ll request:

• Profit & Loss Statement (P&L) – Shows your income and expenses

• Balance Sheet – Snapshot of what you own and owe

• General Ledger – Optional, but helpful for detailed review

• Trial Balance – Especially for businesses with more complex accounting

QuickBooks Tip:

• In QuickBooks Online, go to Reports > Search for “Profit and Loss” > select Year-to-Date > click Run Report.

• Save it as a PDF to email securely to your accountant.

Step 5: Schedule a Final Review Meeting

Don’t just drop off your files and hope for the best.
Schedule a 30-minute call or meeting with your accountant to go over:

• Any significant changes this year (new loans, grants, business expansion)

• Questions or concerns about deductions

• A timeline for filing, so there are no last-minute surprises

If you wait until October 14th to reach out, you may risk late filing or missed opportunities for tax savings.

Avoid These Common Mistakes

1. Waiting until October to start – gives you (and your accountant) no room for errors or questions.

2. Mixing personal and business expenses makes bookkeeping a nightmare and could raise IRS flags.

3. Forgetting significant deductions – like mileage, home office, or retirement contributions.

4. Handing over unorganized records – your accountant isn’t your bookkeeper. Clean records = lower prep fees and less back-and-forth.

Filing taxes doesn’t have to be stressful. Take time now to organize your books, gather documents, and communicate with your accountant.