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Here are a few thoughts on managerial accounting versus tax accounting. I'm
John Harrington.
Managerial accounting
is a system that tells you why you spend your money on what you spend it on
as opposed to tax accounting which is a system that tells you what you spend
your money on.
Tax accounting is something that your accountant is
going to use, but managerial accounting is something that you want to use in your
business to understand why and where the costs are associated with different
products and services that you offer. You want to work with your accountant
on transitioning
your accounting system from managerial to tax accounting when you're
trying to deal with your tax return and that's why having a great accountant is
important.
But, I would strongly encourage you to check out this URL here down below.
It's a great PPofA resource, Professional Photographers of America,
on the differences between managerial and tax accounting. Why you should use
managerial accounting and the benefits of doing so versus the importance of tax
accounting. So check it out.