Why Small Businesses Need IRS Compliance Software for 2023

Small business owners understand the importance of investing in IRS compliance software for the 2023 tax year. The best compliance software provides businesses with up-to-date tax information for specific states and regions. Large businesses must stay compliant, but they can often handle the penalty fees if they make an error during a tax season. Invest in a reliable program if you have a small business to help ensure that the IRS’ penalties do not compromise your business’s financial standing or future.

Advanced Micro Solutions’ software helps small businesses stay compliant and efficient during the tax season and throughout the year. Whether you need your first compliance tools or need an upgrade to a more comprehensive program, we offer an affordable and trustworthy solution. Download our free 1099-etc Demo software today to get started and to see which of our six optional add-on modules make sense to build onto the base system.

 

IRS Compliance Software 2023 for Specific Forms

Determine early on the forms that you need to complete and file so that your business stays compliant with the IRS. There are more than 20 types of 1099 forms. You might only need to use a few of them, but you should know how and when to use them with efficient software.

Form 1099-NEC – Use the form when you need to report non-employee compensation. Only file Form 1099-NEC for independent contractors that you paid more than $600 within the past calendar year.

Form 1099-MISC – Report miscellaneous income on the 1099 form. Use it when you need to report any prizes or attorney fees. A small business may send and receive Form 1099-MISC.

Form 1099-DIV – Utilize IRS compliance software 2023 when you report your business’s dividend income. Stocks and mutual funds might generate that specific type of income for businesses. Keep an eye out for the Form 1099-DIV if you own any investments that pay dividends and collect over $10 throughout a year.

Form 1099-K – File the form for payments conducted through a third-party payment application. Prepare to receive a form if your businesses process over $600 on a payment application such as PayPal or Venmo, or marketplaces like eBay.

 

How Does Compliance Software Help You File Forms?

Take a few simple steps to make filing your small business forms straightforward. Compliance software should streamline:

Gathering the relevant information. Use 2023 IRS compliance software to collect information from your payees or independent contractors. Request that they complete IRS Form W-9 before you work with them.

Correctly completing each of your forms. Invest in software that allows you to generate your forms. Looking for a program that produces entry screens that reflect the actual forms will make your job quicker and you less likely to make avoidable errors.

Filing your forms with the proper local and federal agencies. Software helps prevent the likelihood of you overlooking necessary form submissions to agencies. Use a program to stay on top of sending forms to the IRS and potentially to your state tax department.

Meeting all of your required deadlines. Send Form 1099-NECs and any W-2 forms by Jan. 31 for the previous tax year. The tax year 2023 deadline for many other 1099 forms is on March 31, if you electronically file the forms. Let IRS compliance software for 2023 help you meet and stay in the know about any of the important deadlines.

Maintaining thorough records. W-2 and 1099 tax software stores significant amounts of data and company information for employees and employers. Hold onto your records and their supporting documents for at least three years in a secure program in case you need them.

 

How AMS Keeps Small Businesses Compliant

AMS’ base W-2/1099 Forms Filer software supports up to 99,999 employees or recipients per payer. The software offers an easy-to-use, menu-driven format. Users minimize the risk of any consistency errors since they only need to enter their payer information one time. The program has six optional add-on modules. The modules are: Software Generated Forms, AMS Payroll, E-File, Affordable Care Act Filer, Forms Filer Plus, and 1042-S Filer. Pair Software Generated Forms with the base program and print most of the forms in the 1099-etc product suite. Small businesses can print their forms on plain white paper directly from a printer.

IRS compliance software 2023 should not create more work for you. Calculate selected fields with your software and directly send your forms to agencies using an e-filer tool. Our software supports businesses that operate within all 50 states, plus the District of Columbia and Puerto Rico. Review your state and federal tax liabilities with our View command tool as needed.

Software Solutions from AMS

Our W-2 and 1099 Forms Filer is our only required platform. From there, users pick the services they need. Choose from the tools below to build out your customized accounting software.