3. Reviewing new fixed asset purchases and adding them to the chart of accounts

If you purchased any fixed assets during the year, you should add these to QuickBooks. As mentioned in Chapter 1, Getting Started with QuickBooks Online, fixed assets can be equipment purchased for your business such as computers or printers. Furniture such as a desk or chair are also considered fixed assets. Fixed assets are subject to depreciation, which is a tax-deductible expense. Depreciation is the reduction of the value of a fixed asset due to wear and tear. Tax-deductible expenses can reduce your tax bill, so you want to make sure that you take all of the deductions to which you are entitled. If you have not recorded new fixed asset purchases, then you will not have depreciation expenses recorded, which means you will miss out on what could be a significant tax deduction. It’s also important to conduct a physical check to ensure that all of the assets on the books still exist and have not...