While small business owners are still struggling financially and find getting a small business loan to be difficult, entrepreneurs may soon be facing another challenge. Forbes recently reported the Internal Revenue Service (IRS) will be targeting thousands of small businesses across the country to unearth problems with under reporting.
The IRS will be looking through small business records to find out if companies have been underreporting cash purchases. The IRS says it is exploring the realm of small businesses without accusation, and is rather gathering information for its own records.
Small businesses are particularly vulnerable to accusations of misconduct as they often do not have large accounting departments that handle financial practices on a day-to-day basis. Not reporting cash purchases on 1099 tax forms can lead to legal trouble, but also points to the importance of reliable merchant account services that can provide consistent information to business owners, making it easier to track payments and expenses.
If a small business owner needs guidance on how to get their own credit card system in stores, they can come to National Funding for help. National Funding can provide assistance on choosing a credit card processing service as well as other services that can benefit entrepreneurs.