Tax planning
Current-year projections, decision modeling, estimates, elections, and implementation before deadlines.
Accountant and CPA for small business, nationwide
Small Business CPA and Accountant: One Team for Tax, Books, and Decisions
Bookkeeping, business and owner tax returns, payroll coordination, entity decisions, and year-round planning from one CPA-led firm serving owners in every state.
Best for established owners who want one accountable firm for the books, the returns, and the decisions between them. Not positioned as the lowest-cost annual filing option.
★ 5.0 on Google113 reviews1,000+ clientsAll 50 states, fully remote
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Book your free 30-minute business owner tax fit call
Tax planning slots are limited before year-end.
A free 30-minute call with our team about your needs, how we can help, and whether we are a good fit.
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Working together
Know what you’re engaging us to do.
- Who it fits
- People with business income, property, equity compensation, or decisions that need coordinated tax planning.
- What the work covers
- A review of the agreed tax questions, documented assumptions and actions, and coordination with the preparation and implementation work in your proposal.
- Who implements
- The proposal names Taxstra’s work, the records and approvals you provide, and any payroll, plan administrator, or legal work requiring another provider.
- Ongoing support and fees
- Entities, states, transactions, record quality, and the complexity and timing of the decisions. Your proposal specifies the fee, review cadence, ongoing support, and separately scoped work.
Free tax fit call → engagement
A free 30-minute conversation with our team about your situation, service fit, and next steps. You can book directly.
View an illustrative planning deliverable
Illustrative format only, not a client plan, tax recommendation, or promise of a particular outcome. The engagement determines the actual deliverables.
- Decision and evidence
- Review owner compensation after a change in duties. Gather role descriptions, hours, payroll records, and comparable compensation sources.
- Analysis and next action
- Document the supported assumptions and alternatives. Assign the review to the CPA, records to the owner, and any agreed payroll change to the payroll provider before processing.
- Financial comparison
- Separate current tax effects, future tax effects, fees, and required cash. Record exclusions and unresolved questions.
- Follow-through
- Confirm implementation and identify changes in duties or business activity that require another review.
The short answer
An accountant for a small business should keep the books reconciled, prepare the business and owner returns from those books, and plan the tax decisions before year-end. A bookkeeper records what happened; a CPA is licensed to sign returns, represent you before the IRS, and model what should happen next. Taxstra does both under one roof.
Free tools
Run the numbers first
- S Corp Tax CalculatorEstimate 2026 payroll-tax savings from an S corp election at your profit level.Open the tool
- Self-Employment Tax CalculatorEstimate 2026 Social Security and Medicare tax on your net profit.Open the tool
- Estimated Tax Penalty CalculatorCheck safe harbor and the Form 2210 penalty before the January 15 payment.Open the tool
Year-end 2026
Before December 31, 2026: moves for small business owners
These decisions lock in when the calendar turns. After December 31, they become 2027 decisions.
- 1
Run owner payroll in 2026
If you own an S corporation and work in it, reasonable compensation has to be paid as W-2 wages. Wages count in the year they are paid, so a salary you skipped cannot be backdated into a January payroll.
- 2
Clear accountable plan reimbursements
Reimburse home office, mileage, and phone costs under a written accountable plan before the books close, so the company deducts them and you receive them tax-free. How an accountable plan works.
- 3
Hold and document any Augusta rule rental
If your company rents your home for real business meetings, the rental has to stay under 15 days for the year, at a fair market rate, with dated records and an invoice. Only days used by December 31 count for 2026. How the Augusta rule works.
- 4
Place equipment and vehicles in service
Section 179 and bonus depreciation apply only to property placed in service by December 31. A vehicle still at the dealer on New Year's Eve is a 2027 deduction. See which vehicles over 6,000 lbs qualify.
- 5
Put 2% shareholder health insurance on the W-2
Health premiums the S corporation pays for a more-than-2% shareholder belong in that owner's W-2 wages. That is what allows the self-employed health insurance deduction, so it has to be in the final 2026 payroll.
- 6
Max 401(k) deferrals through December payroll
If you take W-2 wages, 2026 employee deferrals (up to $24,500, plus $8,000 at age 50 or older, or $11,250 at ages 60 to 63) must come out of wages paid in 2026.
A free 30-minute call with our team about your needs, how we can help, and whether we are a good fit. Tax planning slots are limited before year-end.
Educational only, not individualized tax advice. 2026 federal rules; state rules and your facts can change the answer.
CPA, MBA
Bryan Martin, Managing Partner and Founder of Taxstra
1,000+ clients
Owner-led businesses nationwide, served remotely from Springfield, IL
Books plus returns
QuickBooks Online close, business return, and owner return in one firm
Secure portal
Documents, e-signatures, and messaging in one client portal
A strong fit
- Established, profitable operating businesses
- Owners with payroll, multiple entities, or multiple states
- Businesses that need reliable monthly reporting
- Owners who want planning connected to implementation
Probably not the right fit
- A simple return where price is the only criterion
- A pre-revenue idea with no current accounting need
- A business unwilling to separate personal and company activity
- A request for isolated advice without adequate records
When accounting and tax need to work together
If your business has added staff, entities, locations, or management reporting, connect the monthly close with business tax preparation and owner planning. Taxstra can coordinate the agreed work while your internal bookkeeper or office manager retains useful responsibilities. CFO forecasting is optional; smaller bookkeeping and preparation engagements remain available.
Go deeper: accounting, tax preparation, and planning together · compare the recurring scope and fees
What is included
What a small business CPA and accountant should actually deliver
The books, payroll, entity, owner return, tax plan, and filings should reconcile to the same facts and the same calendar.
Most owners buy those pieces from different providers: a bookkeeper who never sees the return, a preparer who never sees the books until March, and nobody who owns the decisions in between. The most expensive accounting failure in a small business is that seam. A CPA for small business owners should remove it and be the one person accountable for the whole system. Every Taxstra engagement is built from the named deliverables below; start with one layer and add the rest as the business grows.
Tax compliance
Business, owner, and applicable state returns prepared from reconciled records and documented positions.
Accounting and bookkeeping
A defined monthly close, reconciliations, financial statements, and records that are usable throughout the year.
Business advisory
Cash, margin, compensation, hiring, financing, and growth decisions viewed alongside the tax consequences.
- Monthly close: categorized transactions, reconciled bank and card accounts, and a profit and loss, balance sheet, and cash flow statement
- Business returns (Forms 1065, 1120-S, or 1120) and owner K-1s coordinated with the personal return
- A current-year tax projection updated each quarter, with estimated payment figures
- Written recommendations on entity, owner pay, retirement plans, and timing, delivered before deadlines rather than after them
- Payroll coordination for owner wages and employees, reconciled to the books and the returns
- For growing companies, a cash flow forecast, budget versus actuals, and decision support on hiring, pricing, and financing
Start at the actual bottleneck
Which accounting service does the business need first?
"I need an accountant for my small business" usually means one of three different things, and buying the wrong one is the most common way owners waste money on accounting.
A bookkeeper cannot fix a tax-planning problem. A tax planner cannot fix books that do not reconcile. A CFO engagement on top of messy books is forecasting with bad inputs. Match the symptom to the service, then sequence: clean books first, planning once the business is consistently profitable, forecasting when decisions like hiring or financing need a model.
| Symptom | Likely first need | Concrete first output |
|---|---|---|
| I cannot produce last month’s profit and loss | Bookkeeping cleanup, then a monthly close | Reconciled accounts and financial statements by a set date each month |
| I can produce a P&L, but it never changes a decision | Tax projection and planning | Current-year federal and state model with written recommendations before year-end |
| Tax bills keep surprising me | Tax projection and quarterly estimates | Estimated payment schedule tied to actual profit, updated each quarter |
| The numbers change decisions, but nobody models them with me | CFO-level advisory | Cash flow forecast and decision model |
| Reporting exists, but nobody owns it | Controller support | Responsibility matrix, close calendar, and controls |
| Entity, payroll, and owner return disagree | Integrated CPA review | Entity and owner-system diagnostic |
| I just started and need an accountant for my small business | Entity and filing-calendar setup | Entity, payroll, and estimated-tax checklist for year one |
Taxstra Tip
A five-minute self-diagnosis: open last month’s profit and loss. If you cannot produce one, you have a bookkeeping problem. If you can produce one but it does not change any decision, you have a planning problem. If it changes decisions but you have nobody to model them with, that is the CFO gap.
Go deeper: accounting needs assessment · bookkeeping for small business · catch-up bookkeeping · small business tax planning · fractional CFO services
Buy the right function
Do I need a CPA or a bookkeeper for my small business?
A bookkeeper records what already happened. A CPA is licensed to sign the return, represent you before the IRS, and plan what should happen next. Most businesses need the bookkeeper first and the CPA as soon as profit, payroll, or entity questions appear.
Owners hire a CPA when they need a bookkeeper, or a bookkeeper when they need a CPA, and both mistakes cost money. Use the table to place your business. The revenue figures are rules of thumb from our own client base, not legal tests.
| Factor | A bookkeeper is usually enough | You need a CPA | What we tell owners |
|---|---|---|---|
| Revenue and profit | Under roughly $75,000 in revenue with thin profit | Consistent profit on revenue above roughly $100,000 | Below the line, buy clean books and an annual return. Above it, you need both functions. |
| Employees | None, or one or two part-time | Three or more W-2 employees, or owner payroll | Each W-2 adds payroll tax filings, and an S corporation owner has a reasonable compensation figure to document. |
| Entity | Sole proprietor with one income source | LLC, S corporation, or partnership, or considering an election | Entity choice carries multi-year consequences and should be modeled, not guessed. |
| Estimated taxes | Small or no quarterly payments | Material quarterly estimated payments | Once estimates are material, someone should update the projection every quarter. |
| Income streams | One business, no investments | Side business, rentals, investment income, or K-1s | Multiple streams need one projection that covers the business and the owner return together. |
| Complexity | Standard deductions and simple expenses | Depreciation, home office, contractors, capital gains, or multiple states | More than a handful of deduction categories means positions that belong with a licensed preparer. |
Taxstra Tip
At Taxstra both layers run in one firm. The bookkeeper who closes your month and the CPA who signs your return work in the same file, so a December projection is built from November actuals instead of a guess.
Go deeper: CPA vs bookkeeper · do I need an accountant for my small business
Interview the process, not the credential
How to hire an accountant for a small business
Define the work first, then interview for accountability, planning cadence, industry fit, technology, and fee transparency. The CPA license is the floor, not the decision.
- Define scope before price: books, business return, owner return, payroll, planning, or all of them. A quote without a scope is not comparable to anything.
- Ask who does the work and who reviews it. You want a named CPA accountable for your file, not a ticket queue.
- Ask what share of the firm’s work is planning versus preparation, and when they last contacted a client before year-end with a recommendation. A firm that only files will hesitate.
- Ask which current clients resemble your business. "I work with a lot of contractors" is a better answer than "all kinds of businesses."
- Check the technology: cloud books such as QuickBooks Online, a secure portal for documents, and e-signatures. "Just email it" is a warning sign.
- Get the engagement letter in writing: what is included, what is extra, when it is billed, and what triggers a change order.
- Set a response standard. Twenty-four to 48 hours is reasonable, including during filing season.
- Ask them to explain one recommendation in plain English and show the math behind it. If they cannot, do not act on it.
Taxstra Tip
Ask for one anonymized example of a recommendation the firm made before year-end, how it was implemented, and how the result was measured. Do not ask for a promised savings number. A firm that gives you one is telling you something.
Go deeper: how to hire a CPA for your small business: 15 questions and a scorecard
Ten minutes of verification
Find an accountant for small business: what to check first
If the search started with "I need an accountant for my small business," verify credentials in ten minutes, then bring the right documents to one call.
Verify before you interview. Look the preparer up in the IRS directory of credentialed return preparers, which lists CPAs, enrolled agents, attorneys, and other credentialed preparers who hold a current PTIN, and confirm the CPA license with the state board of accountancy. Anyone who prepares federal returns for pay must have a PTIN, and only CPAs, enrolled agents, and attorneys have unlimited rights to represent you before the IRS.
Then bring these to the first call: the last two years of business and personal returns, a current-year profit and loss even if it is rough, the last twelve months of bank statements or access to the accounting file, entity documents, payroll reports, any IRS or state notices, and the estimated payments you have made this year. Do not clean anything up first. A good accountant for a small business knows what to look for and would rather see the real condition of the records.
Book a free 30-minute consultation with our team to discuss your needs, our services, and whether Taxstra is a fit. Personalized advice and analysis require a paid engagement.
Go deeper: virtual CPA services · small business tax advisor
Market ranges, not a quote
What does an accountant for a small business cost?
Market-wide, business return preparation commonly runs $1,500 to $5,000 or more per return, monthly bookkeeping $500 to $3,000 or more per month, and proactive planning engagements $5,000 to $25,000 or more per year. Scope, the condition of the records, entities, and states move the number within each range.
Those are market ranges observed across the profession. Taxstra quotes a flat fee after a free initial consultation, once scope and the condition of the books are known. Four inputs drive nearly every quote: transaction volume, the number of accounts and entities, payroll and states, and whether the books need a cleanup project before monthly service makes sense.
If the books are months behind, that cleanup comes first as a separate, scoped project, priced by how many months need to be caught up.
| Service | Market range | What moves the price |
|---|---|---|
| Straightforward owner return (Form 1040) | $400 to $1,200 | Income sources, states, and the condition of the records. |
| S corporation or partnership return (Form 1120-S or 1065) | $1,500 to $5,000 or more per return | Payroll cleanup, shareholder basis tracking, and multi-state apportionment sit in the upper half. The owner return is on top. |
| Monthly bookkeeping and accounting | $500 to $3,000 or more per month | Transaction volume, accounts, entities, and payroll. Books that are months behind start with a scoped cleanup. |
| Proactive tax planning | $5,000 to $25,000 or more per year | Income level, entity complexity, and strategies implemented. Ask whether return preparation is included. |
Taxstra Tip
Compare scope before price. An unscoped hourly engagement is how a $500 estimate becomes a $2,000 invoice. Ask for a flat fee with a written scope before any work begins.
Go deeper: catch-up bookkeeping cost and timeline · cost of an accountant for small business · how much does a CPA cost
Business and owner are connected
S corp and entity help: elections and owner compensation
Legal structure, federal tax classification, payroll, distributions, benefits, basis, and state obligations are related but not interchangeable. Taxstra models the tax and administrative consequences and coordinates legal questions with counsel.
Single-member LLC owners are the most common "accountant for my small business" search we see, and the question underneath is almost always whether to keep default treatment or elect S corporation status. The answer depends on sustainable profit, reasonable compensation, payroll cost, state treatment, and benefits, not on a generic profit threshold repeated online.
- Compare the current structure with realistic alternatives
- File Form 2553 no more than 2 months and 15 days after the start of the tax year it should apply to (March 15 for a calendar-year business), or any time in the year before
- Document reasonable compensation where an S corporation is used
- Reconcile payroll, draws, distributions, and owner basis
- Separate entity formation from tax-election timing
- Identify state registrations and owner nonresident obligations
- Revisit the structure when ownership, profit, or exit plans change
Go deeper: accountant for an LLC · LLC vs. S corporation · owner compensation · reasonable salary guide · S corp CPA · how to set up an S corp · S corp tax calculator
The monthly layer
Bookkeeping and payroll for a small business
Books and payroll feed every return and every planning decision, so they sit with the same team that signs the return.
We close the month in QuickBooks Online, reconcile the accounts, and send statements you can use. Owner wages, employee payroll, and reimbursements get tied back to the books, so W-2s, payroll filings, and the business return agree before anyone files.
If your books are behind, a scoped cleanup comes first. If you own an S corporation, the books also need to separate wages from distributions and track shareholder basis.
Go deeper: outsourced accounting · payroll services · bookkeeping for S corps · catch-up bookkeeping
October to December
Q4 for S corp owners: reasonable salary and year-end planning
The fourth quarter is when an S corporation owner can still fix the year. After December 31, 2026 payroll is closed and most planning moves become 2027 decisions.
Your Q4 small business checklist
- Compare the owner salary paid so far with a documented reasonable salary for the role. If it is short, catch it up through payroll before the last 2026 pay run, not as a distribution.
- Update the full-year profit projection with actual numbers through September or October, then set the fourth-quarter estimated payment from it.
- Get the books current. Year-end planning built on books that are months behind is a guess.
See every date in 2026 year-end tax planning. Read the S corp reasonable salary guide and the year-end tax planning checklist. If the books are behind, start with catch-up bookkeeping.
Proactive means scheduled
A year-round small business tax and accounting calendar
| Cadence | Review | Decision |
|---|---|---|
| Monthly | Close, reconciliations, payroll, unusual transactions | Correct data and ownership issues |
| Quarterly | Profit, projection, estimates, states, cash | Update payments and planning actions |
| Before a major event | Hire, purchase, financing, new state, owner change | Model alternatives before commitment |
| Year-end | Implementation status and final projection | Complete time-sensitive actions |
| After filing | Actual-to-plan reconciliation | Carry elections, basis, and open items forward |
Go deeper: year-end tax planning · quarterly taxes
Complexity compounds
Payroll, retirement plans, and multi-entity coordination
Payroll
Owner wages, employees, contractors, benefits, reimbursements, and work states reconciled to books and returns.
Retirement planning
Plan design based on workforce, entity, compensation, cash flow, goals, and administration.
Multiple entities
Intercompany accounts, shared costs, ownership, basis, and filings reviewed as one system.
Multiple states
Residency, sourcing, payroll, registration, and entity obligations mapped from actual activity.
General hub, specialist depth
Industry-specific small business CPA paths
The core system is similar; the accounting inputs, tax risks, and operating decisions differ by industry.
Real estate investors
Rental books, depreciation, participation, entities, partnerships, transactions, and states.
Construction
Job costing, WIP, retainage, equipment, payroll, methods, and surety requirements.
Dental practices
Production, collections, provider reporting, payroll, tax planning, acquisitions, and owner decisions.
Startups
Founder setup, equity, payroll, books, compliance, R&D, and reporting.
Law firms
Partners, K-1s, trust accounting, retirement plans, states, and firm books.
All industries and client situations
Find the relevant audience hub, then explore the services and decisions within it.
Individuals
Business Owners
Online Business
Physicians
Real Estate Investors
Tech Employees
Trades & Service
Lifestyle & Wellness
Real Estate Agents
Marketplace
Startups
Nonprofit & Religious
The working relationship
How the engagement works
- 01
Free initial consultation and scoping
Book a free 30-minute consultation with our team to discuss your needs, our services, and whether Taxstra is a fit. Personalized advice and analysis require a paid engagement.
- 02
Onboarding
Typically two to four weeks: prior returns and the depreciation schedule, QuickBooks Online setup or takeover, bank feeds, a chart of accounts that matches how the business earns and spends, and secure document workflows.
- 03
The recurring cadence
Monthly close with financials on a set date. Planning clients add quarterly projection and estimate reviews timed to the estimated-tax calendar. Questions go to a named contact.
- 04
Year-end handoff to the return
The reconciled books flow into the business return, K-1s flow to the owners, and the decisions made during the year are already documented for the preparer, because the preparer was in the room.
“I am very pleased with Taxstra. They handle all my business and personal accounting. Payroll, monthly P&L, taxes, and tax returns. I highly recommend them.”
Ready to hire an accountant for your small business? Start with a free initial consultation.
A free 30-minute call with our team about your needs, how we can help, and whether we are a good fit. Tax advice, document reviews, and analysis require a paid engagement.Your tax plan and specific advice come after you engage. The call is about fit and next steps.
Tax planning slots are limited before year-end.
Authoritative Sources
- IRS, Choosing a Tax Professional
- IRS Publication 583, Starting a Business and Keeping Records
- IRS Instructions for Form 2553
- IRS Directory of Federal Tax Return Preparers with Credentials and Select Qualifications
Citations reflect U.S. federal tax law as of the article's last reviewed date.
Frequently Asked Questions
What does a small business CPA do?
A small business CPA coordinates tax preparation, current-year projections, entity and owner-compensation analysis, accounting oversight, payroll questions, state filings, and advisory work. The exact scope should be written into the engagement letter so both sides know what is included and what is extra.
How do I find an accountant for my small business?
Define the scope first: books, business return, owner return, payroll, planning, or all of them. Then look where credentials can be verified: the IRS directory of credentialed return preparers, your state CPA society directory, and referrals from a banker or business attorney who already sees your numbers. Confirm the license with the state board, interview two or three firms with the same questions, and ask who does the work and who reviews it.
Is a business accountant the same as a small business CPA?
Not always. Business accountant describes the work. A CPA also holds a state license, can sign your return as a paid preparer, and can represent you before the IRS. A small business usually needs that work and that license together once it has payroll, an entity election, or more than one state.
What is the difference between an accountant and a CPA for a small business?
Accountant is a job description; CPA is a state-issued license. A CPA has passed the Uniform CPA Examination, met education and experience requirements set by a state board, and keeps the license current with continuing education. CPAs, enrolled agents, and attorneys have unlimited rights to represent clients before the IRS. Many small businesses use a non-CPA bookkeeper for daily records and a CPA for returns, tax positions, and planning.
Do I need both a CPA and a bookkeeper?
Often, yes. Reliable transaction records and reconciliations are the input; tax and accounting judgment are the next layer. The two functions can sit in one firm or be coordinated across providers, but ownership of the handoff must be explicit. At Taxstra both layers run in one firm.
How much does an accountant for a small business cost?
Market-wide, business return preparation is commonly quoted in the low-to-mid four figures per return, monthly bookkeeping runs from a few hundred to a few thousand dollars per month depending on volume, and proactive planning engagements commonly start in the mid four figures and run into five figures for complex, multi-entity owners. Scope, the condition of the books, entities, and states move the number. Taxstra quotes a flat fee after a free initial consultation, once scope and the condition of the books are known.
What does a small business CPA help with on an S corporation?
The election itself and its timing, a documented reasonable salary run through payroll, the Form 1120-S and owner K-1s, shareholder basis, and the owner return that the K-1 flows into. The S corporation pays off only when the payroll and return costs are lower than the tax it saves, so the decision should be modeled on your own profit first.
When should a small business consider an S corporation?
Only after modeling sustainable profit, reasonable compensation, payroll and return costs, state treatment, benefits, and administrative capacity. A generic profit threshold is not enough to make the decision.
Can Taxstra work with businesses outside Illinois?
Yes. Taxstra serves clients nationwide through secure virtual workflows. State residency, income sourcing, payroll, sales-tax, and entity obligations are still analyzed jurisdiction by jurisdiction.
Is Taxstra a fit for a brand-new business?
It depends on current complexity and economics. Taxstra is strongest when there is active compliance, accounting, or planning work to coordinate. If the honest answer on the first call is that software plus an annual return is enough for now, you will hear that.
Educational information only, not individualized tax, legal, or investment advice. Federal rules are discussed unless stated otherwise; state treatment and exceptions can differ.
Hire an accountant for your small business who plans, not just files.
Book a free 30-minute consultation with our team to discuss your needs, our services, and whether Taxstra is a fit. Tax advice, document reviews, and analysis require a paid engagement.Your tax plan and specific advice come after you engage. The call is about fit and next steps.
Tax planning slots are limited before year-end.
Related Taxstra resources
Continue with the services, planning tools, and explainers most relevant to this topic.