Annual Tax Prep for the Self-Employed

Everything to gather before you sit down with your CPA (or open TurboTax) so it takes one session, not five.

Income

• All 1099-NEC and 1099-K forms received
• Total revenue from accounting software (QuickBooks, Wave, spreadsheet)
• Reconcile against bank deposits — don't miss cash payments
• List of any payments to you over $600 not on a 1099 (still taxable)
• Sales tax collected and remitted (if applicable)

Business Expenses

• Categorized P&L for the year (income minus expenses by category)
• Office supplies, software subscriptions, hosting, tools
• Professional services: accountant, lawyer, contractors paid
• Marketing: ads, website, branded materials
• Bank fees, payment processor fees (Stripe, Square, PayPal)
• Education: courses, books, conferences directly related to your business
• Business insurance premiums

Home Office Deduction

• Decide simplified method ($5/sq ft, max 300 sq ft) or actual expenses
• Measured square footage of dedicated business-only space
• Total square footage of home (for percentage)
• Year totals for utilities, internet, rent/mortgage interest, insurance, repairs

Vehicle

• Mileage log: business miles vs. total miles for the year
• Standard mileage rate vs. actual expenses (gas, maintenance, insurance, depreciation)
• Date placed in service for any business vehicle

Quarterly Estimated Taxes

• Confirmation of all 4 quarterly payments to IRS (Form 1040-ES)
• State quarterly payments if applicable
• Self-employment tax (15.3%) calculated on net profit

Retirement Contributions

• SEP-IRA, Solo 401(k), or Roth IRA contributions — deductible up to limits
• Note: SEP/Solo 401(k) deadline is your tax filing date including extensions

Health

• Self-employed health insurance premiums (deductible above-the-line)
• HSA contributions if eligible

1099s You Issued

• Anyone you paid $600+ for services should have received a 1099-NEC by Jan 31
• Confirm W-9 collected from each contractor before paying

Final Steps

• Bank statements for entire year, organized by month
• Receipts for any expense over $75, especially meals and travel
• Prior year tax return (helps preparer pattern-match)
• Calendar 2-3 hours with no distractions to file or hand off