2021 IRS 1040 Return Income Tax Organizer
Free Income Tax Organizer
Go ahead and download our Free Income Tax Organizer. Please fill it out on your computer, save to your desktop and upload it back to us. (upload is at the bottom of page). El Cid will take care of the rest.
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Tax Organizer
Tax Organizer
IRS 1040 Tax Return
- Form IRS 1040
- Schedules A, B, C, CEZ, D, E, F, H, J, R, SE
- Form 8812 Child Tax Credit
We will prepare your IRS 1040 tax return for both State and Federal and e-file for you. Your return shall be prepared with the highest standards as for all of our clients.
Schedule A (Form 1040), Itemized Deductions
Information about Schedule A (Form 1040), Itemized Deductions, including recent updates, related forms, and instructions on filing. Filers use Schedule A (Form 1040) to report itemized deductions.
Schedule B (Form 1040A or 1040), Interest and Ordinary Dividends
Form 1040 Schedule B is used by filers to report interest and ordinary dividend income. Information about Schedule B (Form 1040A or 1040), Interest and Ordinary Dividends, including recent updates, related forms, and instructions on filing. Use Schedule B to report your taxable interest or ordinary dividends.
Schedule C Form 1040, Profit Loss from Business
Schedule C (Form 1040) reports income or loss from a business operated or a profession practiced as a sole proprietor. Also, use Schedule C to report wages and expenses that occurred as a statutory employee. Publication 525 discusses many kinds of income (money, property, or services) and explains whether they are taxable or nontaxable. Use this schedule to report gain or loss from a business you operated or a profession you practiced as a sole proprietor.
Schedule C EZ (Form 1040), Net Profit from Business
Schedule C-EZ (Form 1040) is used instead of Schedule C by qualifying small businesses and statutory employees with $5,000 or fewer expenses.
If you operated a business or practiced a profession as a sole proprietorship or qualified joint venture, you can use this schedule. If you were a statutory employee and met all the requirements listed in Schedule C-EZ, Part I.
Schedule D (Form 1040), Capital Gains and Losses
Form 1040 Schedule D is used to report sales, exchanges, or specific involuntary conversions of capital assets, certain capital gain distributions, and non-business bad debts. The form includes the tax computation using maximum capital gain rates. Use this schedule to report the sale or exchange of capital assets, gains from involuntary conversions, distributions, and non-business bad debts.
Schedule E Form 1040
Information about Schedule E (Form 1040), Supplemental Income and Loss, including recent updates, related forms, and instructions on filing. Schedule E (Form 1040) is used by filers to report
Income from rental real estate
Royalties
Partnerships,
S corporations
Estates, trusts
Residual interests in real estate mortgage investment conduits (REMICs).
Schedule EIC (Form 1040A or 1040), Earned Income Credit
Schedule EIC (Form 1040) is used by filers who claim the earned income credit to give the IRS information about the qualifying child. After figuring out your earned income credit (EIC), use this schedule to provide the IRS with information about your qualifying child.
Schedule 8812 (Form 1040) is used by taxpayers to calculate and report the Child Tax Credit and the Additional Child Tax Credit.
Use Part I of this schedule to document any child for whom you entered an ITIN.
Suppose you checked the “if qualifying child for child tax credit” box is a resident of the United States. Your child also meets the substantial presence test. And is not otherwise treated as a nonresident alien. Use Parts II-IV of Schedule 8812 to figure the additional child tax credit.
Schedule F (Form 1040), Profit Loss from Farming
Information about Schedule F (Form 1040), Profit Loss from Farming, including recent updates, related forms, and instructions on filing. Use this schedule to report farm income and expenses.
Schedule H Form 1040
Household employers use schedule H (Form 1040) to report household employment taxes.
Every employer uses schedule A (Form 940) with four or more employees on at least one day of each of 20 calendar weeks. Also, in a calendar year, file a return on Form 940 for such a year. Schedule H is also used to report household employment taxes. If you paid cash wages to a household employee and the wages were subject to social security, Medicare, or FUTA taxes, or if you withheld federal income tax.
Schedule J Form 1040
Information about Schedule J (Form 1040), Income Averaging for Farmers and Fishermen, including recent updates, related forms, and instructions on filing. Use this schedule to elect to figure your income tax by averaging over the previous three years (base years)—all or part of your taxable income from your trade or business of farming or fishing.
Schedule R (Form 1040A or 1040), Credit for the Elderly or the Disabled
Information about Schedule R (Form 1040), Credit for the Elderly or the Disabled, including recent updates, related forms, and instructions on filing. Use this schedule to figure the credit for the elderly or the disabled.
Schedule SE Form 1040
Information about Schedule SE (Form 1040), Self-Employment Tax, including recent updates, related forms, and instructions on filing. Self-employed persons use schedule SE (Form 1040) to determine the self-employment tax on net earnings.
Bookkeeping Services
The cost of hiring a bookkeeper can vary depending on the size of the business and the Bookkeeper’s experience. However, on average, a bookkeeper will charge anywhere between $40 – $85 per hour, depending on the size of the business.
Bookkeeping involves the recording, regularly, of a company’s financial transactions. With proper bookkeeping, companies can track all their books to make critical operating, investing, and financing decisions.
Our bookkeepers manage all financial data for companies in or around North Hollywood CA and Hollywood, CA.
Bookkeeping is the recording of financial transactions and is part of accounting in business and other organizations. It involves preparing source documents for all transactions, operations, and other business events.
Transactions include purchases, sales, receipts, and payments by a person or an organization/corporation. There are several standard bookkeeping methods, including the single-entry and double-entry bookkeeping systems. While these may be viewed as “real” bookkeeping, any process for recording financial transactions is a bookkeeping process.
The person in an organization employed to perform bookkeeping functions is usually called the bookkeeper (or book keeper).
Above all, efficient accounting and operating procedures ensure that the business runs smoothly. Clearly, future growth is possible, only if the books are in good and accurate order.
Moreover, El Cid Bookkeeping, Inc. has been providing accounting services to small, medium, and large size businesses. Apart from this, El Cid can perform functions as general ledger accounting, payroll, financial analysis, bank reconciliations, and financial statement reports.
Methods of Bookkeeping Services
Before you begin bookkeeping, your business must decide what method you will follow. When choosing, consider the volume of daily transactions your business has and the amount of revenue you earn. A complex bookkeeping method designed for enterprises may cause unnecessary complications if you are a small business. Conversely, less robust methods of bookkeeping will not suffice for large corporations.
Importance of Bookkeeping Services
Proper accounting services and bookkeeping and payroll services give companies a reliable performance measure.
It also provides general strategic decisions and a benchmark for its revenue and income goals. In short, once a business is up and running, spending extra time and money on maintaining proper records is critical.
El Cid can give you consulting services on your bookkeeping. We work with many small businesses. We can provide you with monthly financial statements and your income tax return for IRS and State.
Many small companies don’t hire full-time accountants to work for them because of the cost. Instead, small companies generally employ a bookkeeper or outsource the job to a professional firm.
Bank Account Balancing
Bank account balancing is the process of finding identical transactions in your bank account and your bookkeeping records.
Balancing your bank accounts is a crucial step in bookkeeping.
Because, after everything else is logged, it is the last step to finding discrepancies in your books. Bank account balancing helps you ensure nothing amiss with your money.
Why is it Mandatory?
Bank balancing is a must because it:
- Provides the exact financial situation of your company
- Tracks cash flow accurately
- It helps detect fraud or bank errors
There are two basic types of bookkeeping: single-entry and double entry
There is a fundamental division between single-entry and double-entry bookkeeping systems. Each transaction is recorded with one entry in a journal or log-in single-entry procedures. Single-entry systems are sometimes adequate for small, uncomplicated businesses, but they have several limitations and pros and cons.
In double-entry systems, each financial event is recorded using two corresponding entries called a debit and a credit.
You debit one account for each transaction (or another financial event) and credit another account.
Each debit always equals the corresponding credit.
You choose which accounts to credit/debit according to the accounting equation.
Which states that Equity = Assets – Liabilities, but don’t worry about the details of how this works for now.
Enter your debits/credits correctly; the sum of debits for all accounts will always equal the corresponding sum of credits.
Keep reading our blog to find more details about the bookkeeping concept you want to learn next.
The Accrual vs. Cash Basis of Accounting
To properly implement bookkeeping, companies need to choose which accounting basis they will follow. Companies can choose between two basic accounting methods: cash or the accrual basis of accounting.
The difference between these accounting bookkeeping services is based on the company’s actual records of a sale. These can include (money inflow) or purchase (money outflow) in the books.
Financial Statements
The next, and probably the most important, step-in bookkeeping is to generate financial statements by an accounting tax person. These statements are prepared by putting all your information from the entries you have recorded on a day-to-day basis.
Reports provide insight into your company’s performance over time. They reveal the areas you need to improve on to be a comprehensive business.
The major financial reports that every business must know and understand are the balance sheet and income statement.
Balance Sheet
The balance sheet reports a business’s assets, liabilities, and shareholder’s equity at a given point in time. In simple words, it tells you what your company owns, owes, and the amount invested by shareholders.
However, the balance sheet is only a snapshot of a business’s financial position for a particular date.
It must be compared with balance sheets of other periods as well.
The balance sheet allows you to understand your business’s liquidity and financial structure.
Through analytics like current ratio, asset turnover ratio, inventory turnover ratio, and debt to equity ratio.
The debt-to-equity ratio is financial too. This indicates the relative proportion of shareholders’ equity and debt used to finance a company’s assets.
Closely related to leveraging, the ratio is also known as risk, gearing, or leverage.
Income Statement
The income statement also called the profit and loss statement. This statement focuses on the revenue gained and expenses incurred by a business over time.
There are two parts to a typical income statement.
The upper half lists operating income, while the lower half lists expenditures.
The statement tracks these over a period, such as the last quarter of the fiscal year. It shows how the net revenue of your business is converted into net earnings, which result in either profit or loss.
The income statement does not focus on receipts or cash details.
El Cid Bookkeeping, Inc.
We love empowering small business owners around their monthly financial reports.
Our bookkeeping services offer full-service bookkeeping and all types of income tax preparation for all businesses, individuals. We have bookkeeping set-up and training.
El Cid Bookkeeping Inc. and Taxation Services have serviced over 4500+ businesses.
Many include small businesses, Corporations, S corporations, other business companies. And sole proprietors throughout the San Fernando Valley, Los Angeles, San Diego, Inland Empire, Orange County, and Sacramento areas. Our services including, online bookkeeping services, virtual bookkeeping services, and we are a dedicated bookkeeper to your account.
- Income entries
- Expense entries
- Invoicing or billing
- Credit control
- Accounts payable
- Accounts receivable
- Bank Statements
- Credit card accounts
- Payroll Taxes
- Send monthly Profit and Loss and Balance Sheet