HB New Customer Checklist - Tax & Accounting Items I Review with New Clients

Mackenzie Patel
Mackenzie Patel
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October 21, 2025

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HB New Customer Checklist - Tax & Accounting Items I Review with New Clients

October 21, 2025
Technical Accounting

Hi everyone! In this article, I’ll be open sourcing the compliance checklist I review with our new customers, especially startups that haven’t been around the corporate block yet. This is geared towards C corporations in the United States and is a blend of accounting and tax to-do’s that might not be on a founder’s radar. Here we go!

Item Type Due Date Notes
Delaware Annual Franchise Tax Tax March 1 (annual)
  • Fee that Delaware C corporations pay for the privilege of being incorporated in Delaware
  • If you owe >$5,000 in a given year, then you have to start paying estimated taxes the next year (penalties will be incurred if you don't)
  • Even if your company isn’t incorporated in Delaware, check with your state of incorporation to see if/when annual reports are due to remain in “good standing”
Annual Federal and State Tax Returns Tax April 15 (annual)
  • Form 1120 for US C corporations
  • Can file an extension if you need (doesn’t extend any taxes due though - these are due by April 15)
  • Typically file state returns based on where you're "doing business" in the state (i.e. have customers or employees)
Form 5472 (Part of Federal Return) Tax April 15 (annual)
Quarterly Payroll Tax Returns Tax Quarterly
  • Form 940 and 941
  • These are normally prepared and filed by your payroll tax provider (i.e. Gusto, Justworks, Rippling, ADP, etc)
  • If you have unused R&D tax credits, these amounts are claimed on the quarterly payroll returns
  • When hiring an employee in a new state, you have to register with that state’s employment department (different from department of revenue) → you can usually do this through your payroll provider
Collecting W-8s or W-9s from Contractors/Outside Service Providers Tax As Needed
  • When you use outside vendors (i.e. contractors, accounting or legal firms, security audits, etc), you are required to collect information from them
  • If the vendor is non-US, you must collect form W-8BEN; if they are US based, you collect form W-9
  • Best practice to collect these forms before you pay the vendor (use Quickbooks or Track1099 to collect the W-9 first)
Issue 1099s to US-based Vendors Tax January 31 (annual)
  • Use the information on Form W-9 to file the 1099
  • The 1099 contains the total USD paid to the vendor (they use this form to file their own taxes)
  • 1099s are not required for non US vendors, but we recommend analyzing if you need to file Form 1042 instead
  • 1042 = Annual Withholding Tax Return for U.S. Source Income of Foreign Persons
Set up an Accountable Plan for Business Reimbursements Tax As Needed
  • Accountable plans are used if you plan on reimbursing business expenses to founders
  • 101 on Accountable Plans
  • Essentially a policy you can use for eligible business expenses
  • Includes a home office reimbursement as well
Collect Receipts and Invoices for all Material Expenses Tax & Accounting Rolling basis
  • Collect all invoices for any vendors you pay (good backup for 1099 reporting)
  • Collect and store receipts for all other business expenses exceeding a threshold (say, $75)
  • This documentation will be key in the event of an IRS audit → you can prove your business expense deductions are legit
Sales Tax Review Tax As Needed
  • Once you start having revenue, you'll need to evaluate what states it's coming from (sales tax is highly complex and state-specific)
  • Providing digital services can still trigger sales tax (doesn't just have to be physical items) → we recommend partnering with a sales-tax specific firm
  • Softwares like Avalara or Kintsugi help with determining what states you have sales tax in and remitting the tax owed
FBAR Reporting Regulatory As Needed
  • Required if the company has any non US bank accounts (whether the company owns the account outright or has a financial interest in it/influence over it)
  • Separate online form required to be filed with FinCEN (Financial Crimes Enforcement Network, a government agency)
Implementing a Crypto Subledger Accounting Rolling basis
  • In addition to your main accounting system (i.e. QBO), you will need a crypto subledger to track all of your crypto activity → this helps us categorize each transaction and report it in the books
  • Enterprise and small business/individual options available
  • Choose the subledger that’s best for your type of on-chain activity

As you can see, there’s a lot to think about when starting a crypto company in the US! This checklist doesn’t even go into the big regulatory items, like determining if your company is considered a digital asset broker (consult with your lawyers for that). Accounting firms today like to tout the virtues of advisory - which is definitely critical to running a business - but compliance is also a big part of the story. I’m betting that even with IRS downsizes and the looming threat of AI erasing our jobs, tax returns will still need some input from humans. If we missed anything, please let us know!

Mackenzie Patel

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