The 4 Best eCommerce Accounting Tips That You Can Get

Tax season is always a difficult time of the year. Your drawer is full of receipts and you are almost irritated looking at your computer screen and desk and there are lots of stuff that requires your attention.

I have some tips for all of you that can help in making your online tax filing and accounting easier than ever before.

So lets jump right into it.

Tip 1. Integrating your online store with accounting software:

If you are still using the traditional way of accounting you need an update. Accounting software is very simple to use and helps to track your money. With just a click you can see your inventory, past purchases, and pay-outs. The software also allows you to produce and catalog invoices.

Integrating such software with your store helps in keeping your books up to date and accurate. It automates all the calculation process which then allows you to focus elsewhere.

When you are hiring an accountant these type of software will help them to access your business reports, Information and transactions all in one place.

Tip 2. Reconcile your account:

Many accounting software's in the market allow you to connect with your bank, which gives you the ability to sync and download transactions. Which helps in reconciling your accounts.

You might be thinking what reconcile your account means. It means taking two sets of records and making sure that they both match with each other. The benefit of that is it highlights duplicate and fraudulent charges and transaction errors. And also gives you peace of mind that all your transaction is processed successfully.

After integrating your bank with accounting software you will be able to categorize transactions as they occur and once the month ends, you can run a reconciliation process that will automatically match your transactions.

Tip 3. Record of all your expenses and revenues:

If you are in the online business for more than a year, then you probably know how important is it to correctly record business revenues and expenses.

Whenever you purchase something, you need to ensure that you get a receipt. The importance of having receipts cannot be stressed enough. Receipts are your proof. It helps to identify service or product information, price and transaction date.

It is recommended that one should keep the previous 6 years receipts, It may sound a little difficult but the fact is you can be audited as far back as 6 years. If you don't like keeping paper copies, there are applications like Evernote that helps in storing receipts in a paperless way.

Tip 4. Deadlines: