Using Reports for Tax Preparation

At tax time, JobsPaid reports give you everything you need to file accurately and claim every deduction. Here is how to use them.

The Four Reports You Need

1. Revenue Report (Invoices → All → Paid) Shows your total income for the year. This is your gross revenue that goes on your tax return.

2. Expense Report (Expenses → Annual) Shows all deductible business expenses by category. This reduces your taxable income.

3. Sales Tax Report (Reports → Tax Summary) Shows total sales tax collected, which you owe to your state — this is not your income.

4. Outstanding Invoices Report Shows money you are owed at year-end. If you use cash-basis accounting, these are not taxable until paid.

Key Tax Metrics From JobsPaid

• Gross revenue = Total of all paid invoices for the year
• Net profit = Gross revenue − deductible expenses
• Sales tax liability = Total sales tax collected (owed to state)
• Total deductible expenses = Sum of all business expense categories

Schedule C Overview

For sole proprietors, the key line items on Schedule C that JobsPaid supports:

• Line 1 (Gross receipts) → Total paid invoices
• Line 17 (Legal and professional) → Accounting fees
• Line 20 (Rent/lease) → Equipment rentals
• Line 21 (Repairs and maintenance) → Tool repairs
• Line 22 (Supplies) → Materials expenses
• Line 23 (Taxes and licenses) → License fees

Work With a CPA

For the most accurate filing, share your JobsPaid CSVs with a CPA who specializes in contractor taxes. The time savings and potential savings from proper deductions usually far exceed their fee.