Tax Season Closing in on Small Business Owners

National Association for the Self-Employed offers tools, tips for tax time

WASHINGTON, Jan. 15 /PRNewswire-USNewswire/ -- There are exactly 90 days to go
until this year's tax filing deadline and many small business owners probably
haven't even thought about their taxes yet. But the next three months will go
by a lot faster than you think, says Keith Hall, national tax advisor for the
National Association for the Self-Employed (NASE). Though April may seem like
a long way off, Hall says the time to start preparing is now.

"Start with last year's tax return. It will tell you a lot about what to
expect this time around, so if you had income or deductions on a previous
year's return, there's a good chance you'll find them again," Hall said. From
there, Hall suggests small business owners consult the IRS Web site. "One of
the most helpful resources online is actually IRS.gov, as well as small
business resources like the NASE. Also, consider using tax preparation
software to help avoid all of those common math mistakes and make sure to
install the latest software updates, like those for the Alternative Minimum
Tax, to ensure you get the correct figures."

Hall encourages small business owners to gather documents including W-2s,
1099s, bank interest statements, and investment account statements which will
help support the numbers given on a tax return. Other practical tips from Hall
and the NASE include:

-- Save Tax Dollars with a Retirement Contribution. Contributions to most
retirement accounts such as IRAs, SEPs, etc., can be made right up until April
15. With an SEP plan, small business owners can contribute as much as 20% of
their Schedule C earnings to their own retirement and get a full tax
deduction.

-- Avoid shortcuts. Take the time to go through the forms and instructions.
Save time with online preparation or the use of tax preparation software, but
don't take any shortcuts with the information. And always check your math to
avoid unnecessary and careless mistakes.

-- Find the right professional. If you plan to use a professional tax
preparer, get referrals from friends, co-workers, even clients. Speak to
several different professionals. Find someone with the right experience in
your type of business and ask about fees and timing.

-- Look for all Deductions. Among the most common deductions overlooked by
micro-business owners are automobile usage, retirement options and the home
office deduction.

The NASE recommends that micro-business owners start looking into available
resources for tax preparation help now to avoid the last-minute crunch. In
addition to the IRS Web site, the National Association for the Self-Employed
(www.nase.org) also offers valuable tax assistance through its own Tax Talk
program, offering free tax advice for the self-employed. Small business owners
can visit http://taxtalk.nase.org/taxtalk.asp to submit their questions and
get fast, knowledgeable answers to tax questions from CPAs at the NASE.

About the NASE
The National Association for the Self-Employed (NASE) is the nation's leading
resource for the self-employed and micro-businesses, bringing a broad range of
benefits to help entrepreneurs succeed and to drive the continued growth of
this vital segment of the American economy. The NASE is a 501(C) (6) nonprofit
organization and provides big-business advantages to hundreds of thousands of
micro-businesses across the United States. For more information, visit the
association's Web site at www.nase.org.

SOURCE National Association for the Self-Employed

Kristin Oberlander of the National Association for the Self-Employed,
+1-202-466-2100, koberlander@nase.org