In addition to daily business transactions, SEO company accounting includes recording state and federal business and employee taxes. The SEO CPA needs to be knowledgeable in the various types of state and federal taxes applicable to the specific business format.
An SEO CPA determines the basic business operations, how employees are paid and taxes applicable to the operation of the business.
Bookkeeping can become quite complex for SEO consultants if they hire employees on a project by project basis, part-time, or if they maintain a full staff of SEO employees on a full-time basis.
Depending on whether the SEO consulting business is involved in search engine marketing (SEM) which is a component of SEO and PPC (pay per click), the bookkeeping software applications need to address taxes that may apply. In some states, PPC is tax exempt. In other states, a sales tax applies.
Also, it is important to know whether tangible property and/or services are taxable as part of bookkeeping for SEO consultant business owners.
In the U.S., the Internal Revenue Service (IRS) provides a guide for owners of e-businesses.