UNITED STATES ACCOUNTING SERVICES

Accounts Junction specializes in providing outsourced accounting and bookkeeping services for businesses across the United States. Our team is well-versed in US financial regulations, tax laws, and accounting software. We offer end-to-end financial solutions to streamline business operations, ensure compliance, and support financial growth.

1. Sales Tax

• Sales tax is imposed by individual states, cities, and counties on the sale of goods and services.

• Tax rates vary by state and locality.

• Businesses are responsible for collecting and remitting sales tax to the appropriate authorities.

• Some states have no sales tax, like Delaware, Oregon, New Hampshire, Montana, and Alaska (only local taxes apply in Alaska).

• Businesses must register for a sales tax permit before collecting sales tax.

• Online and remote sellers may need to comply with economic nexus laws.

2. Use Tax

• Applied to purchases made outside the state but used within the state.

• Businesses and individuals must report and pay use tax when sales tax was not collected at the time of purchase.

• Many states audit businesses to ensure use tax compliance.

3. Excise Tax

• A federal tax is imposed on specific goods like alcohol, tobacco, fuel, and luxury items.

• Paid by manufacturers and wholesalers, but often passed on to consumers.

• Certain industries, such as aviation and telecommunications, have specific excise tax requirements.

4. Customs Duty

• Levied on goods imported into the US.

• The rate depends on the type of goods and their country of origin.

• The US Customs and Border Protection (CBP) enforces customs duties.

• Businesses importing goods must classify them correctly under the Harmonized Tariff Schedule (HTS).

5. Property Tax

• A tax imposed on real estate by local governments.

• Assessed annually based on property value.

• Rates vary by state and county.

• Some jurisdictions offer tax exemptions or credits for businesses.

6. Corporate Franchise Tax

• Some states impose a franchise tax on businesses operating within their jurisdiction.

• Based on income, net worth, or a flat fee depending on the state.

• Not all states require a corporate franchise tax, but those that do may have additional compliance rules.

Popular Accounting Software

Businesses in the US use various accounting and bookkeeping software to manage their finances efficiently. Some of the most widely used are:

1. QuickBooks Online

• Cloud-based accounting software is popular among small and medium-sized businesses.
• Features include invoicing, payroll, tax preparation, and financial reporting.
• Integration with third-party applications enhances functionality.

2. Xero

• Ideal for small businesses and startups.
• Provides real-time financial data, bank reconciliation, and invoicing.
• Supports multi-currency transactions.

3. FreshBooks

• Designed for freelancers and service-based businesses.
• Offers time tracking, invoicing, and expense management.
• Mobile-friendly with automated payment reminders.

4. Wave Accounting

• Free software for small businesses and freelancers.
• Includes invoicing, expense tracking, and receipt scanning.
• Offers optional paid payroll and payment processing services.

5. NetSuite

• An advanced cloud-based ERP and accounting software.
• Best for medium to large enterprises needing comprehensive financial management.
• Includes advanced reporting and analytics.

6. Zoho Books

• A cost-effective solution for small businesses.
• Provides automation tools for managing expenses, invoicing, and reporting.
• Integrated with other Zoho applications for seamless operations.

• The official currency of the US is the United States Dollar (USD).
• Represented by the symbol $ and currency code USD.
• When recording financial transactions, accountants must adhere to US GAAP guidelines and report financials in US dollars.

• English is the primary language used in financial reporting and compliance.
• Financial statements, tax documents, and business contracts are prepared in English.
• Spanish is also widely spoken, particularly in regions with large Hispanic populations.

Audits are required based on business structure, industry, and financial size. Key regulations are enforced by the Securities and Exchange Commission (SEC), the Internal Revenue Service (IRS), and the Public Company Accounting Oversight Board (PCAOB).

Types of Audits:

1. Mandatory Audits

• Publicly traded companies must undergo annual audits.
• Required under the Sarbanes-Oxley Act.

2. Financial Reporting Standards

• Businesses follow US GAAP for financial reporting.
• Public companies may also follow IFRS if they operate internationally.

3. Internal Audits

• Conducted by companies to assess financial processes and risk management.

4. Tax Audits

• Conducted by the IRS to verify tax compliance.
• Can be triggered by discrepancies in tax returns.

5. Group Audits

• Required for businesses with multiple subsidiaries.

6. Nonprofit and Government Audits

• Charities and government agencies may require audits based on their funding sources.

Payroll in the US is governed by regulations set by the IRS and the Department of Labor (DOL).

Key Payroll Components:

1. Federal Income Tax Withholding

• Employers must withhold federal income tax based on employees' W-4 forms.

2. FICA Taxes

• Includes Social Security Tax (6.2%) and Medicare Tax (1.45%).
• Employers must match employee contributions.

3. State and Local Taxes

• State income taxes vary (some states have no income tax, e.g., Texas, Florida, Nevada).
• Some local governments impose additional taxes.

4. Unemployment Tax (FUTA & SUTA)

• Employers pay Federal Unemployment Tax (FUTA) and State Unemployment Tax (SUTA).

5. Workers' Compensation Insurance

• Required in most states to cover employee injuries.

6. Overtime & Minimum Wage Compliance

• Governed by the Fair Labor Standards Act (FLSA).
• Minimum wage varies by state.

7. Payroll Processing Software

• Popular tools include Gusto, ADP, Paychex, QuickBooks Payroll, and Zenefits.

Generally Accepted Accounting Principles (GAAP)

• Govern financial reporting and ensure transparency.
• Overseen by the Financial Accounting Standards Board (FASB).
• Public companies must comply with GAAP as required by the SEC.

Key Accounting Standards:

1. Financial Statement Presentation

• Includes balance sheets, income statements, and cash flow statements.

2. Revenue Recognition

• Revenue must be recorded when earned, not when received.

3. Expense Matching

• Expenses must be recorded in the same period as the revenue they generate.

4. Conservatism Principle

• Accountants must choose the least favorable scenario when uncertainty exists.

5. Accrual Basis Accounting

• Required for most businesses (cash basis is allowed for small businesses).

1. Expertise in US Taxation & Compliance

• Specialized in US tax laws, IRS regulations, and state-wise compliance.
• Expertise in tax returns, including 1040, 1065, 1120, 1120-S, 990, and 1041.
• Team of experienced EAs, Indian CPAs, and tax professionals.

2. Efficient Payroll & Bookkeeping Solutions

• End-to-end payroll processing, including tax withholdings and compliance.
• Accurate bookkeeping services using QuickBooks, Xero, NetSuite, and Odoo.
• Real-time financial reporting for better business decisions.

3. Seamless Integration with Accounting Software

• Expertise in migrating data from QuickBooks, Xero, NetSuite, and other platforms.
• Custom integrations with automation tools for streamlined financial processes.
• Cloud-based solutions for easy access and collaboration.

4. Cost-Effective Outsourced Accounting

• Reduce operational costs while ensuring high-quality financial management.
• Scalable solutions tailored to startups, SMBs, and enterprises.

5. Dedicated Support for Small & Large Businesses

• Personalized assistance for startups, freelancers, and corporations.
• 24/7 customer support with prompt responses to queries.
• Industry-specific accounting solutions to meet unique business needs.

Accounts Junction is a trusted partner for businesses in the United States. We offer complete accounting and bookkeeping services. Our team understands US tax laws, financial rules, and industry needs. We use top accounting software to manage finances smoothly. Our services include accurate bookkeeping, payroll processing, and tax filing. We provide real-time reports to help businesses make smart decisions. Accounts Junction helps you stay compliant, save time, and grow your business.