The final quarter of 2026 begins in October, but effective year-end planning should start now. Waiting until December can eliminate valuable opportunities to adjust taxes, cash flow, payroll, and business decisions.
Business owners should review:
– Year-to-date revenue and profitability
– Accounts receivable and outstanding obligations
– Estimated federal tax payments
– Washington B&O and sales-tax reporting
– Owner compensation and distributions
– Payroll compliance
– Planned equipment or technology investments
– Retirement-plan contributions
– Contractor records and Forms W-9
– 2027 goals, pricing, and operating budget
Consider Your Year-End Tax Position
Your current year-to-date results can provide a better picture of what your 2026 tax liability may look like. Depending on your business structure and circumstances, there may be opportunities to plan for deductions, make qualifying purchases, adjust estimated tax payments, or take other steps before December 31st.
It’s important to remember that not every purchase is automatically a tax deduction, and making a purchase solely for a tax benefit may not make financial sense. Tax planning should be considered alongside your business’s actual cash flow and financial goals.
Washington Businesses Should Consider:
Verifying whether local sales and use tax rates change on October 1, 2026. Oftentimes, the WA Department of Revenue (WA DOR) announces changes at the state or local level for tax rates. You can use the Tax Rate Lookup tool provided by WA DOR to look up sales tax rates for any location in Washington.