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Tel: 202-630-1TAX

OUR SERVICES

Bookkeeping Services offered

  1. Financial Record Keeping:

    • Transaction Recording: Accurately recording financial transactions such as sales, purchases, expenses, and payments.

    • General Ledger Maintenance: Maintaining a ledger that summarizes all financial transactions.

  2. Accounts Payable and Receivable:

    • Accounts Payable (AP): Managing bills, invoices, and payments to suppliers and vendors.

    • Accounts Receivable (AR): Tracking customer invoices, receipts, and collections.

  3. Bank Reconciliation:

    • Ensuring that the company’s records match the bank statements by reconciling discrepancies.

  4. Payroll Services:

    • Calculating employee salaries, handling tax withholdings, and managing payroll processing.

  5. Financial Reporting:

    • Preparing financial statements (such as income statements, balance sheets, and cash flow statements) for management and regulatory purposes.

  6. Tax Preparation and Filing:

    • Assisting with tax compliance, including preparing and filing income tax returns.

    • Advising on tax deductions, credits, and strategies to minimize tax liability.

  7. Budgeting and Forecasting:

    • Creating budgets based on historical data and future projections.

    • Providing financial forecasts to guide decision-making.

  8. Consulting Services:

    • Offering financial advice, strategic planning, and recommendations for improving financial health.

    • Assisting with financial decisions related to business growth, investments, and cost management.

  9. Catch-Up Bookkeeping:

    • Bringing outdated or incomplete financial records up to date.

  10. CFO Services:

    • Providing high-level financial expertise, especially for small businesses that may not have a full-time Chief Financial Officer (CFO).

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Bank Reconciliation

Purpose of Bank Reconciliation: Comparison: Bank reconciliation involves comparing the transactions recorded in a company’s accounting records (such as the general ledger) with the transactions reported by the bank. Identifying Discrepancies: The goal is to identify any discrepancies between the two sets of records. Process of Bank Reconciliation: Collect Data: Obtain the bank statement (usually monthly) from the financial institution. Match Transactions: Carefully match each transaction on the bank statement with the corresponding entry in the company’s records. Identify Differences: Any differences (such as missing transactions, errors, or timing discrepancies) are noted. Common Reasons for Differences: Timing Differences: Transactions may appear on the bank statement in a different month than when they were recorded by the company. Outstanding Checks: Checks issued by the company but not yet cashed by recipients. Deposits in Transit: Funds deposited by the company but not yet reflected in the bank statement. Bank Fees and Interest: Charges or interest earned by the bank. Reconciliation Steps: Mark Cleared Items: Check off transactions that match between the bank statement and the company’s records. Calculate the Difference: If discrepancies exist, calculate the net difference between the two balances. Adjust Records: Make necessary adjustments (e.g., add outstanding checks, subtract deposits in transit) to reconcile the balances. Ensure Zero Difference: The goal is to have a zero difference between the adjusted balances. Bank Reconciliation Software: QuickBooks Online and Xero are popular accounting software that streamline bank reconciliation. These tools import transactions, organize data, and generate reconciliation reports12. Benefits of Bank Reconciliation: Accuracy: Ensures that financial records reflect actual bank transactions. Fraud Detection: Helps detect unauthorized transactions or errors. Financial Reporting: Accurate balances are crucial for financial statements and tax reporting.

Individual Consultation

Initial consultation is free

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Capitolist Tax 2024   

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