Practical and Helpful Tips: Accounting

Interesting Facts about Tax Preparation, Bookkeeping and Payroll The term bookkeeping is defined as the recording of any financial transactions and it is recognized as the part of the process of accounting in the business industry. Some of the common financial transactions made by any business companies or any individuals include receipts, purchases, payments or sales. Any processes that involves the act of recording different kinds of financial transactions by business companies is called as bookkeeping, and the two common entry systems of bookkeeping include the single-entry bookkeeping system and the double-entry bookkeeping system. The term bookkeeper is basically referring to any professionals who has the duty or the role to record the daily financial transactions of the business company where they’re working at and this records are being written on the daybooks, and to be more specific, the bookkeepers are the ones who performs the various process of bookkeeping. Each and every bookkeeper have the responsibility to ensure that all the financial transactions made by the company where they are working at should be recorded in a general ledger, supplier’s ledger, right or correct daybook, and customer leddger. The term payroll is basically defined in various ways, such as the list of a business company’s employees; the total amount of money that a business company will pay to its workers, staffs and employees; and the company’s record of the wages, salaries, withheld taxes, and bonuses of its employees. In an accountant’s perspective, the term payroll is based on the law and regulations of the state where the business is located, and because of that it is recognized as a very important part of each and every businesses for this can affect the net income of a company. Most of the employers and staffs are quite sensitive when it comes to their payrolls, which is why the department that processes and calculates the payroll are advised to ensure that the calculation is done correctly to avoid any disputes. The term tax preparation is defined as the process of preparing the tax returns, which is being made to obtain compensation. The term tax return is basically defined as the reports that contains details or information used for the calculation of the different kinds of taxes, especially the income tax, and these reports are being filed with the internal revenue service or with the state or local tax collection agency. Tax preparation can be performed by a taxpayer via the use of a tax preparation software application or online services, but the licensed professional who can make such process includes a lawyer or an attorney, an enrolled agent, and a certified public accountant or CPA.The Essentials of Bookkeeping – Revisited

The Essentials of Bookkeeping – Getting to Point A