{"id":12030,"date":"2020-03-02T10:03:59","date_gmt":"2020-03-02T18:03:59","guid":{"rendered":"https:\/\/www.rentecdirect.com\/blog\/?p=12030"},"modified":"2021-03-02T14:40:19","modified_gmt":"2021-03-02T22:40:19","slug":"questions-to-ask-your-accountant","status":"publish","type":"post","link":"https:\/\/www.rentecdirect.com\/blog\/questions-to-ask-your-accountant\/","title":{"rendered":"Bookkeeping Reminders and Questions to Ask Your Accountant"},"content":{"rendered":"

\"bookkeeping<\/p>\n

Tax season is coming quickly which means wrapping up bookkeeping and get those last-minute questions answered. Get ready for the upcoming tax season with these property management bookkeeping reminders and important questions to ask your accountant. <\/span><\/p>\n

Bookkeeping Reminders<\/span><\/h2>\n

An accountant\u2019s time can be costly so reviewing your ledgers and information periodically, especially at the end of the year is paramount to saving you time and money.\u00a0<\/span><\/p>\n

Uncategorized transactions<\/strong><\/p>\n

An uncategorized transaction likely will not follow properly to end-of-year reports. For example, a private landlord may need a Schedule E<\/a> report so transactions will need to be categorized to populate.\u00a0<\/span><\/p>\n

Income and expenses<\/strong><\/p>\n

Review ledgers for any missing data-entry that will close out the year. For instance, if you are on a cash-based accounting system, only enter items that have been paid or deposited within the year.<\/span><\/p>\n

Move-outs and tenant security deposits<\/strong><\/p>\n

This is a perfect time to review tenant rent and security deposit ledgers. Remember to post all payments received security and\/or other deposits returned, and any outstanding ledger entries before year-end.\u00a0<\/span><\/p>\n

Review ledger balances\u00a0<\/strong><\/p>\n

The best way to make certain all ledger balances are correct is to reconcile the bank ledgers. If this task has slipped off the to-do list, set aside some time to reconcile your account ledgers as soon as possible. In addition, a 3-way reconciliation will help highlight any omissions or errors.\u00a0<\/span><\/p>\n

Verify vendor and owner information<\/strong><\/p>\n

Ensure that vendor and owner information is prepared for 1099s and for tax season. Keep completed and current W-9s and contact information on file for each vendor and owner. If your property management software processes 1099s, verify the tax and contact information for each vendor and owner is accurate in the system prior to processing.\u00a0<\/span><\/p>\n

1099s Reminder: Property managers send 1099s based on net rent paid to owners. If an owner is requesting the 1099s be calculated based on gross rent, contact your accountant and legal counsel for advice.\u00a0<\/span><\/em><\/p>\n

Meanwhile, as you are getting these last-minute bookkeeping tasks completed, schedule an appointment with your accountant to discuss leading up to tax season. The following are the topics and questions you may want to bring to the table.\u00a0<\/span><\/p>\n

Questions to Ask Your Accountant<\/h2>\n

Deadlines<\/span><\/h2>\n

Aside from the 1099 deadlines available online, ask your accountant what other deadlines are on the horizon based on your business structure for items such as:\u00a0<\/span><\/p>\n