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If you have a side hustle, start this simple habit now to make filing your taxes easier, CPA says

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          🞛 This publication is a summary or evaluation of another publication 🞛 This publication contains editorial commentary or bias from the source
"You have to keep good records," says Ed Slott, a certified public accountant and founder of IRAHelp.com. It's best for you and your business if you focus on keeping all documents related to your side income in one place,
The article from MSN Money discusses the importance of maintaining organized financial records for those with side hustles, as advised by CPA Katelynn Minott. She emphasizes that keeping track of income and expenses throughout the year can significantly simplify the tax filing process. Minott suggests using tools like spreadsheets or accounting software to log all financial transactions, including receipts for expenses which can be used for deductions. This practice not only helps in accurately reporting income but also in identifying potential tax deductions, thereby potentially reducing the tax liability. The article highlights that without proper documentation, individuals might miss out on deductions or face penalties for underreported income.

Read the Full MSN Article at:
[ https://www.msn.com/en-my/money/personalfinance/if-you-have-a-side-hustle-start-this-simple-habit-now-to-make-filing-your-taxes-easier-cpa-says/ar-AA1A5vQ6 ]