Common Bookkeeping Mistakes That Delay Tax Filing

Common bookkeeping mistakes can sneak up on business owners and cause costly delays when it’s time to file taxes. The habits you form (or neglect) right now in August can have a big impact on how smooth — or stressful — your 2025 tax filing will be.

Here are some of the most common errors we see and how to fix them before they turn into headaches at tax time.

1. Missing Receipts and Documentation

The problem: Lost or unorganized receipts make it difficult to back up deductions and slow down tax prep.
The fix: Use QuickBooks Cloud Accounting to upload receipts instantly from your phone, laptop, or tablet. Everything syncs across devices and is available 24/7, so you can access estimates, invoices, expense tracking, and financial reports in seconds. With real-time updates and paperless storage, you’ll stay organized year-round and avoid the last-minute scramble at tax time.

2. Mixing Personal and Business Expenses

The problem: Swiping your business card for personal purchases (or vice versa) creates messy records and can jeopardize deductions.
The fix: Keep separate accounts and credit cards for business and personal spending. If a mistake happens, document the transaction and adjust it in your books right away.

3. Not Reconciling Bank Accounts Regularly

The problem: Waiting until year-end to reconcile your accounts increases the chance of missing errors or duplicate entries.
The fix: Reconcile bank, credit card, and loan accounts every month. It keeps your records accurate and gives you a clearer picture of your cash flow.

4. Misclassifying Expenses

The problem: Putting expenses in the wrong category can lead to missed deductions or trigger IRS scrutiny.
The fix: Review your chart of accounts and learn where each expense belongs. If you’re unsure, ask your accountant before year-end rather than waiting until filing time.

5. Ignoring Accounts Receivable and Payable

The problem: Untracked invoices or unpaid bills can cause cash flow issues and create incomplete year-end reports.
The fix: Monitor invoices sent and payments received regularly. Follow up on overdue accounts and keep vendor records current.

6. Waiting Until the Last Minute

The problem: Rushing to pull together a year’s worth of records in January leads to common bookkeeping mistakes such as errors, omissions, and missed deductions.
The fix: Schedule a “mini year-end” review now. Clean up your books in August or September so the last few months of the year are easier to manage.

The Bottom Line

Small, common bookkeeping mistakes can snowball into bigger problems that slow down your 2025 tax filing. By staying on top of your records now, you’ll save yourself — and your accountant — time, stress, and potentially money.

At Anderson, Adkins & Crawford, we help businesses keep their books clean year-round so tax season is smooth and predictable. If you’re ready to tighten up your bookkeeping process, we’re here to help.