Your tax advisor can only work as fast as your books allow. When records arrive incomplete, the advisor either sends back a long list of questions or cleans the books up first — and charges for it. This checklist covers what to finish before you hand anything over.
The 12-point checklist
- Reconcile every bank account to the year-end bank statement, to the cent.
- Reconcile every credit card and loan account the same way.
- Reconcile payment platforms — Stripe, PayPal, Shopify, Amazon — so gross sales, fees and refunds are recorded separately.
- Clear the suspense account. Anything in “uncategorized” or “ask my accountant” needs a home.
- Separate personal spending and record it as owner drawings, not business expenses.
- Review receivables. Chase or write off invoices that won’t be paid, and confirm the year-end balance.
- Record unpaid bills and accruals for costs that belong to this year but haven’t been invoiced yet.
- Count and value stock at year-end if you hold inventory.
- Update the fixed asset register — additions, disposals and depreciation.
- Split loan payments into interest (an expense) and principal (a reduction of the loan).
- Reconcile payroll in the books to payroll reports and filings for the year.
- Prepare the advisor pack: trial balance, general ledger, reconciliations, schedules and a short list of open items.
When to start
Two to three months before your filing deadline is comfortable. It leaves time to collect missing receipts and statements without a last-minute rush — and if the books are badly behind, start sooner still.
What “tax-ready” means in each country
- United States: books your CPA can file from, including 1099 vendor information and payroll that agrees to your W-2s.
- United Kingdom: digital records your accountant can use for year-end accounts and returns, with payroll agreeing to RTI submissions.
- UAE: records and schedules that support your corporate tax return, ready for your FTA-registered tax agent.
- Singapore: reconciled books and statements your filing agent can use for ACRA and IRAS.
- India: books with clean purchase and sales registers and properly recorded TDS, ready for your CA.
Who does what
Getting the books tax-ready is bookkeeping work. Preparing and filing the return — and advising on tax — is your tax advisor’s job. Keeping the two separate means each is done by the right person, and you stop paying advisor rates for bookkeeping.
General information, not tax advice. Your tax advisor confirms what your business needs to provide.