This independence provides an additional trusted outlet to assess financial decisions. Our entertainment niche provides the knowledge to manage financial needs and bring professional resources to the table for each growth phase of your career. My friend’s band has started to make a little more money at gigs, about $600–800 a show. If they take turns filling out W-9s at shows, how do they ensure that their tax burden is equal in the end?

Entertainment CPA Accounting 678-585-6580

• Even Gen X (69% of men and 76% of women) and baby boomers (56% of men and 70% of women) felt it was either somewhat or very important.
• You can contact us through call, text, e-mail, social media, fax, video messaging.
• If you are no longer working as a musician and are still receiving royalties for prior work, those are taxed at the lower, ordinary income tax rate.
• Although accounting firms have set business hours, that doesn’t mean a Music Business Accountant’s day ends at 5 pm.
• For instance, if you spent $500 to paint your home studio, that entire amount would be deductible.
• Advances in technology and the increasing use of it, allow you more access to us as your  music accountant, anytime, in your own way.

A musician must be concerned with the business of his or her art.  Just like any other business, a musician must comply with accounting, tax or audit requirements. We provide tax return preparation and audits, as well other services, required to satisfy investors in your organization or the federal and state governments. The best arts and entertainment accountants are creative-minded, personable, articulate, cool-headed, and communicate well with their artistic clients. Exceptional organizational skills, attention to detail, and the ability to manage time are vital. We work with the entertainers directly or with their agents, attorneys and personal managers. Our focus is on tax and accounting issues, recoupable expenses, tour budgeting, asset depreciation, contracts, program budgeting and much accounting more.

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• If you find yourself working with a tax preparer that seems like they do not understand you or your business, it would be better to go elsewhere.
• If you have never sat down with a tax professional to discuss your financial details, you may not know what opportunities you have been missing.
• We like Wave Accounting because it’s a one-stop shop for small business owners.
• So whether you perform for a national orchestra, teach music, are in a wedding band or you’re the next Ed Sheeran or Lady Gaga, you can be sure we’re singing from the same songsheet.
• They work with artists who live in other time zones, as well as artists who are juggling a day job while making music at night.

Also keep track of any other music-related expenses you have during the year, even when you are not under their contract. Is it legit to keep some show and merchandise earnings “under the table? As a licensed tax consultant, I cannot advise to keep any earnings “under the table.” All income must be reported. If you make less than $400, you would report it on line 21 of your form 1040. If you were audited by the IRS or state government, they will take a look at all your trackable income on bank statements, Square, Paypal, etc. If there is a discrepancy between your income calculated by the IRS, and what you reported on your tax return, you may face penalties and fees.

Entertainment Industry CPA Accounting

We also love the mileage tracking feature, which is great if you’re a freelancer who travels a lot. We speak on a variety of music industry topics including inventory management, retail store management, succession planning, and more. It’s crucial to keep meticulous records of all your expenses, including receipts, invoices, and other documentation. Doing so will make it easier to claim these deductions and it will also provide necessary support should your tax return be audited.

The UK’s Most Trusted Accountancy Firm

Last but certainly not least on the list of tax deductions for musicians are music production costs. Creating a work environment that genuinely promotes diversity, equity and inclusion not only improves employee engagement but also contributes to innovation, job satisfaction and, ultimately, a stronger bottom line. This software has many functions to help you stay on top of your money, including integration for online banking and convenient invoice reminders. In addition, your critical reports can be created with a single click, making it easy to keep track of your finances.

Return Preparation & Audit Services

It is an excellent option to assist artists in keeping track of their finances. The system easily audits your spending and conveniently shares a workspace with clients. We use FreeAgent bookkeeping software at Gorilla, which ensures your business’ finances are streamlined and easy to access from anywhere. You can accountant for musicians also access this accounting tool from any device, be it your laptop, mobile phone or tablet. And you don’t have to worry about the confidentiality and safety of your data – FreeAgent uses state-of-the-art encryption to keep your information safe and secure at all times, giving you the peace of mind you need.