The short version
- 1.Your books give your accountant the numbers: income, expenses, assets, loans, payroll, inventory.
- 2.You give them what the books can't know: your ID details, last year's return, mileage log, home office size, health insurance and retirement payments, estimated payments, and any IRS or state letters.
- 3.The cleaner the books are on January 1, the shorter the bill. Tax season should be a hand-off, not a scramble.
This checklist covers tax year 2026 (returns filed in 2027). Educational, not tax advice. Your accountant may ask for more or less.
What comes out of your books
If you have a bookkeeper, this is the package they hand over. If you don't, this is what you'll be digging for.
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What only you have
A bookkeeper can't produce these from the ledger. Gather them yourself.
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What changes by business type
The package above is the same. The forms, and the one or two extra items, depend on how your business is taxed.
| Business type | Federal return | What your accountant will also want |
|---|---|---|
| Sole proprietor or single-member LLC (default tax treatment) | Schedule C with your personal Form 1040 | Net profit; estimated tax payments; self-employment tax. Must file once net self-employment earnings reach $400 |
| Partnership or multi-member LLC (default tax treatment) | Form 1065, plus a Schedule K-1 for each partner | Each partner's ownership percentage; contributions and withdrawals; capital account balances. Each partner also tracks their own tax basis |
| S corporation | Form 1120-S, plus a Schedule K-1 for each shareholder; shareholders also file personal returns | Owner payroll records: S corporations must pay a shareholder-employee reasonable compensation before non-wage distributions. For owners with more than 2% of the stock, health insurance premiums the company pays are reported on the owner's W-2. Distribution totals. Shareholders who take non-dividend distributions, claim losses, dispose of stock or receive loan repayments from the company file Form 7203 to track basis |
| C corporation | Form 1120 | Officer pay; dividends paid to shareholders; corporate estimated tax payments |
"Default tax treatment" means you haven't elected corporate treatment. Not sure how your business is taxed? Your prior-year return shows it. Thinking about changing it? See When to elect S-corp status.
What's new and what's worth knowing for 2026 returns
These changes came from the One Big Beautiful Bill Act (P.L. 119-21) and other 2026 IRS guidance. Each one changes something your accountant will ask you for.
| Item | What it is for 2026 | What to hand over |
|---|---|---|
| Contractor reporting threshold | You file Form 1099-NEC or 1099-MISC for payments made in 2026 at $2,000 or more. It was $600 for payments made before 2026 | Contractor list and totals paid, W-9s |
| Form 1099-K threshold | Payment apps and marketplaces report to the IRS when you receive more than $20,000 and more than 200 transactions. The $600 threshold no longer applies. You still owe tax on that income either way, and a platform may still send a form below the limit | Your processor reports, so your books tie to them |
| Bonus depreciation | 100% first-year deduction for qualifying property (such as equipment) acquired and placed in service after January 19, 2025, unless you elect out | Date bought, date put to use, price |
| Section 179 expensing | For tax years beginning in 2026: up to $2,560,000, reduced once qualifying purchases placed in service exceed $4,090,000 | Same asset records |
| Mileage rate | 72.5 cents a mile for business miles January 1 through June 30, 2026, and 76 cents a mile for July 1 through December 31, 2026. The rate changed in mid-year | A log that shows dates, so miles can be split at July 1 |
| Tips and overtime on W-2s | New for 2026 Forms W-2: employers report the cash tips employees reported to them (Box 12, code TP, plus a tipped-occupation code in box 14b) and qualified overtime pay (Box 12, code TT). For overtime, only the premium portion counts (the "half" in time-and-a-half) | Ask your payroll provider to confirm it is set up before January |
| Domestic research costs | Domestic research and experimental costs are deductible again for tax years beginning after 2024 (new section 174A), or can be amortized over at least 60 months | If you develop products, software or processes, tell your accountant what you spent |
| Home office, simplified method | $5 per square foot of home used for business, up to 300 square feet | Square footage only |
Small-business owners who want the 2025 research deduction applied retroactively to earlier years had to elect by July 6, 2026, per Rev. Proc. 2025-28. That window has closed.
Get your books ready before you hand anything over
Your accountant can only file what your books say. Do these before December 31's numbers go out.
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2027 deadlines for 2026 returns
Dates below are for calendar-year businesses. When an official deadline falls on a weekend or holiday, the IRS accepts the next business day, but we list the business day before it, so you're never cutting it close.
| Deadline | What's due | Notes |
|---|---|---|
| Friday, January 15, 2027 | Fourth 2026 estimated tax payment (sole proprietors, partners, S corporation shareholders) | You can skip it if you file your 2026 return by Friday, January 29, 2027 and pay the whole balance with it |
| Friday, January 29, 2027 | Forms W-2 to employees and to the Social Security Administration; Forms 1099-NEC to contractors and to the IRS; Form 941 for the fourth quarter and Form 940 | The official deadline, January 31, falls on a Sunday |
| Friday, February 26, 2027 | Forms 1099-MISC filed on paper with the IRS | The official deadline, February 28, falls on a Sunday. Filers of 10 or more information returns must e-file |
| Monday, March 15, 2027 | Form 1065 (partnerships) and Form 1120-S (S corporations), with K-1s for owners; also the last day to request a 6-month extension (Form 7004) | |
| Wednesday, March 31, 2027 | Forms 1099-MISC filed electronically | |
| Thursday, April 15, 2027 | Form 1040 with Schedule C (sole proprietors) and Form 1120 (C corporations); first 2027 estimated tax payment (individuals); last day to request an extension | |
| Wednesday, September 15, 2027 | Extended due date for Forms 1065 and 1120-S | |
| Friday, October 15, 2027 | Extended due date for Form 1040 (Form 4868) and Form 1120 (Form 7004) |
An extension to file is not an extension to pay. Form 4868 and Form 7004 give you more time to file, but any tax you owe is still due on the original date, or interest and penalties accrue.
Corporations pay their own estimated taxes on a separate schedule; ask your accountant for yours. State deadlines, state estimated payments and local filings differ. Ask your accountant for a state list.
Do you need a receipt for everything?
Short answer: no, but you need proof of every expense. The IRS says records should show what you paid, who you paid, the date, proof you paid, and what business purpose it served. A bank or card statement shows the payment; a receipt, bill or invoice shows what it was for. For business travel and gifts there is a firmer rule: you need a receipt or similar record for every lodging expense and for any other expense of $75 or more. Keep the statement and the receipt together, and say what the purchase was for.
How long to keep what
| Keep for | Which records |
|---|---|
| 3 years from the date you filed (the default) | Records supporting income, deductions and credits on a return |
| 4 years after the tax is due or paid, whichever is later | Employment tax records |
| 6 years | If you left out income that was more than 25% of the gross income on the return |
| 7 years | If you claim a loss from worthless securities or a bad debt |
| Until the limits expire for the year you sell or dispose of it | Property and asset records: purchase price, improvements, depreciation |
| Indefinitely | If you didn't file a return, or filed a fraudulent one |
Many owners simply keep seven years. Your lender, landlord or insurer may ask for longer.
Three things that surprise owners
- 1.You may owe a return even if the business made little money. If your net self-employment earnings were $400 or more, you generally owe self-employment tax and file Schedule SE. Filing also builds the paper trail a bank wants for a loan.
- 2.A loss still gets reported. A net operating loss usually carries forward to offset later profit, up to 80% of taxable income in a later year, rather than being carried back (farming losses have a two-year carryback). The loss is only usable if the return was filed.
- 3.Your income is taxable whether or not a form arrives. A missing Form 1099-K or 1099-NEC doesn't make the income disappear.
If you're closing the business
Tell your accountant before year end. Bring everything in both checklists, plus: a list of assets sold or kept, the sale paperwork, final payroll reports and final payroll tax filings, loan payoff letters, and the closing date. Keep the records for the periods in the table above.
Common questions
- What do I need to give my accountant for small business taxes?
- Two piles. From your books: year-end profit and loss and balance sheet, bank and card statements, loan statements, asset purchases and sales, payroll reports, contractor totals and inventory. From you: your IDs and EIN, last year's return, estimated tax payments, mileage log, home office size, health insurance and retirement payments, any IRS or state letters, and any change in ownership.
- What documents do I need to file small business taxes?
- It depends on how the business is taxed. A sole proprietor files Schedule C with a Form 1040. A partnership files Form 1065, an S corporation files Form 1120-S, and a C corporation files Form 1120. All of them need income and expense records, and payroll and contractor records if you have workers.
- Do I need receipts for every expense?
- No, but you need proof of every expense: what you paid, to whom, when, and why. For business travel and gifts, the IRS requires a receipt or similar record for every lodging expense and for any other expense of $75 or more.
- What if my books are a mess?
- Give your accountant what you have and say so up front. They can usually still file, but they'll bill for the cleanup, and cleanup at tax time is the most expensive way to do it. Reconciling your accounts and categorizing the year before you hand anything over keeps that bill down.
- Do I have to file a tax return if my business didn't make much money?
- Possibly. If your net self-employment earnings were $400 or more, you generally owe self-employment tax and file Schedule SE with your return. Filing may also still be to your advantage when you had a loss.
- Can I use a business loss on my taxes?
- A loss is reported on the return. If it exceeds your income, a net operating loss generally carries forward to later years, where it can offset up to 80% of taxable income. Most businesses can't carry a loss back to earlier years.
- What are the small business tax deadlines for 2027?
- For calendar-year businesses: Friday, January 29, 2027 for W-2s and 1099-NEC (the official deadline, January 31, falls on a Sunday), March 15 for partnership and S corporation returns, and April 15 for sole proprietor and C corporation returns. An extension gives more time to file, but not more time to pay.
- How long should I keep business tax records?
- At least three years from the date you file. Keep employment tax records for at least four years, and keep records for six or seven years in the situations where the IRS allows longer review. Asset records stay until the limits expire for the year you dispose of the asset.
Hand off the books,
not a shoebox.
With clean books all year, tax season is a hand-off, not a scramble. We don't prepare income tax returns; your CPA does. We keep your books reconciled every month and prepare your W-2s and 1099s, so the package in Checklist A is ready the day your CPA asks for it. The estimate is a monthly range for bookkeeping and payroll, and a call gets you a firm number.
Want a number first? Try the bookkeeping cost estimator. See which filings we handle, or how we work with small businesses.
Educational, not tax advice. Invisible LLC does not prepare income tax returns. Figures and dates are for tax year 2026 and filing season 2027, from IRS sources as of October 31, 2026. Your accountant may ask for more or less.