My CPA Coral Gables FL – Tax, Accounting & Bookkeeping Services
The professionals at My CPA, PA, offer an array of remote services. We strongly focus on two main areas – business and IRS tax services. We are equipped with a Coral Gables CPA, an in-house tax attorney, a former IRS agent, and more than twelve years of experience. If you’re looking for a virtual CPA in Coral Gables, FL, look no further. Our extensive knowledge allows us to effectively and thoroughly help our clients and maintain their loyalty for years ahead.
Coral Gables FL Accountant for Your Business
The main goal of a business owner is to make money and to grow continuously. As a Coral Gables business accountant, we can provide insightful business and accounting services such as:
- Business consultation and incorporation
- Monthly bookkeeping and payroll
- Business tax preparation
- Profit and loss statements
Coral Gables FL IRS Tax Resolution Services
With the invaluable expertise of our in-house Coral Gables tax attorney and former IRS agent, our remote firm possesses a unique and formidable advantage when representing individuals and businesses dealing with IRS issues. Our team’s capabilities extend far beyond conventional tax legal services, offering a comprehensive and specialized approach to addressing a wide range of tax-related challenges.
Spotlight On: Cash Basis Versus Accrual Basis Accounting
The two main methods for recording and reporting financial activity are cash basis accounting and accrual basis accounting. The difference between these methods relates to how they time the recognition of revenue and expense. Understanding each method allows a business owner to select the one that best meets their business’s needs and reflects financial performance.
Under cash basis accounting, revenue is recognized, and expenses are recorded when cash is received or paid out. It is considered the simpler of the two methods and is used more often by small businesses. However, it can sometimes result in financial statements that do not accurately reflect a business’s true financial performance.
Under accrual basis accounting, revenue is recognized when earned, and expenses are recorded when incurred, regardless of when the cash is received or paid. This method provides a more accurate picture of financial results when cash receipts or payments do not occur at the same time as work is performed, as may be the case with longer projects where expenses are incurred upfront, or payments aren’t received until a final milestone is reached. Accrual accounting is more complex but generally considered a more accurate and detailed picture of a business’s financial performance.
Most publicly traded companies in the US are required to use accrual basis accounting, and certain industries overseen by regulatory bodies require specific accounting methods. Lenders or investors may also require that financial statements be provided under a specific accounting method. Further, tax laws and regulations may also dictate which method of accounting can be used to calculate taxable income. Therefore, businesses should consult with an accounting professional to determine the best method of accounting for their situation.