8 Common Tax Mistakes That Startups Make

In the flurry of launching a new business or first startup, filing your taxes can be a real learning curve. You won’t want to wait until the last minute to try to figure things out. At the very least, it could lead to money left on the table — or worse, costly penalties or other legal repercussions.

To make sure your new business is handling its tax obligations properly, run through these eight common mistakes:

1. Not Paying Your Quarterly Taxes

Businesses, including self-employed sole proprietors, are required to pay taxes on a quarterly basis. During your business' first year, you get a free pass, and there are certain other exceptions based on how much you make. However, even if you’re not required by the IRS to pay quarterly taxes, it’s still good practice — waiting to pay a year’s worth of taxes in one lump sum can give you quite a shock. Read more...