Taxes: just leave them to the accountants, right? Wrong. I recently had the opportunity to review Eva Rosenberg’s book (otherwise known as TaxMama®) Small Business Taxes Made Easy.
This book was not written for accountants or future accountants—it was addressed towards the entrepreneur to teach time and money-saving tricks. Through the eyes of a seasoned tax veteran, Eva takes the reader on an exciting journey from starting and planning your business, to running your business. Through the book, Eva provides an invaluable point of view about business decisions and their significant tax consequences.
I read this book from the point of view of an accounting degree instructor, a former small business owner, and as a CPA. From this perspective, I understood the value that the book’s content presents to all students who are currently running a business or who have aspirations of entrepreneurship in their future.
Eva has a unique ability to not only explain “what” and “how” questions, but also “why”. Answering “why is important for students because it gives them the reason for taking action. As an entrepreneur, you often face time crunches, the bigger the why you have, the more likely you are to get it done.
As a business student, you will learn important lessons about business law’s and types of corporate entities, and Financial Accounting where you learn the language of accounting, basic book keeping skills, and reporting. Eva takes up where your classes left off and builds on your educational foundation with her practical experience. I would expect many students to read this and have “ah-ha” moments where practice meets with theory and the puzzle becomes complete.
Small Business Taxes Made Easy
One of the attributes about this book that enthralled me was the checklists that were presented at the beginning of every chapter. Business owners are known to start their business with passion and enthusiasm, but they might lack the experience to turn their passion and enthusiasm into a tangible business.
This goes with the saying that you don’t know what you don’t know. Well, TaxMama knows and she had provided checklists of obstacles that you will need to consider in the quest of starting and growing your business. When you are busy thinking of the radical innovations you could make, and the lives that could be touched as an entrepreneur, TaxMama is guide to making sure that you will have the proper licensing, insurance, and planning in order to grow your business with a proper foundation. These checklists will come in handy from the day you want to incorporate or when your first employee is hired until the day that you are preparing for your first tax return.
As you start a business, it’s likely that you will be surrounded by a sea of paperwork: contracts, policies, legal filings, documents, and receipts. Small Business Taxes Made Easy will be your guide to informing you about the documents that you should keep, where you should keep them, and for how long they need to be retained.
This will keep you in compliance with the legal obligations related to tax or employment law. Do you know the proper documentation you should get when you hire an independent contractor? (Hint you can find it in Chapter 9!)
As a student you might run into trouble in a class and not know where to look for more help. Textbooks are supposed to be the end-all-be-all answers to everything. This book is not. This book is helpful as it covers each topic in great depth and points you toward the resources that you will need to answer the questions that you might have. Eva points to resources on where to get help writing a business plan, what software is available to help a small business owner keep track of their accounting, and what IRS forms might be applicable to your situation. Just as every chapter starts out with a checklist, every chapter ends with relevant resources.
Examples: The easiest way to learn is through the mistakes of others. Eva does a tremendous job of sharing her and her client’s stories of successes and failures which paint a very personal portrait to tax situations. She has a great writing voice, captivating stories, and a cunning sense of humor. When reading through this it is almost a Chicken Soup for the Tax-Paying-Entrepreneur’s-Soul.
4. Tax Deductions
When I worked as a CPA I always had a multitude of clients with absurd tax advice from friends and family. If you want to know how to legally structure your business expenses such as home office, vehicle, or employees in order for you to maximize the amount of deduction that you are legally allowed to take. Don’t listen to your friends and family; listen to an expert like Eva.
Small Business Taxes Made Easy is a wonderful tool for every accounting student, entrepreneur (or for anyone who knows an entrepreneur!) and will serve you as a link in between the theory that you are taught in the classroom and the practicality of real world experience. Eva Rosenberg will be a great guide through your journey as an entrepreneur. I highly suggest that you find the nearest copy now.