The IRS expects orderly records
The IRS expects you to keep a recordkeeping system that clearly shows your income and expenses, with supporting documents such as invoices, receipts and bank statements.
USA · Monthly records & reports
Your US company's books, in order every month
We record your company's bank and payment activity every month, categorise it as income and expenses and reconcile it with your bank. Your income and expense report is ready each month, and your books are complete for the year-end return.
- Monthly records
- Bank reconciliation
- Income & expense report
- Year-end-ready books
Bookkeeping
What is bookkeeping and why do you need it?
Bookkeeping is the regular recording of your company's money movements. The difference from accounting: bookkeeping is the record-keeping done every month during the year; accounting is preparing the official returns from those records at year end.
Especially for foreign-owned LLCs
The Form 5472 instructions require books and records sufficient to show the return is correct; failing to keep them can lead to a penalty.
A faster, accurate year end
When records are kept every month, the year-end return is prepared faster and more accurately, without chasing missing documents.
Scope
What's included?
- Monthly recording of bank and payment account activity (e.g. Mercury, Wise, Stripe, Amazon)
- Categorising every transaction into income and expense accounts
- Reconciling the records with your bank statements (reconciliation)
- Matching invoices and receipts to the records and keeping them archived
- Monthly income and expense report
- Tracking money moving between you and the company (contributions, withdrawals) separately
Added when you need it
- Annual federal return (e.g. Form 5472 + pro forma 1120) with our accounting service
- State annual report filing
We confirm the scope and process together in a free intro call.
Process
How it works, step by step
- 01
Free intro call
We look at your company and the bank and payment accounts you use; the scope becomes clear.
- 02
Categories & routine
We set your income and expense categories and the monthly routine together.
- 03
Monthly documents
Each month you send your bank and payment platform statements, invoices and receipts securely.
- 04
Recording & reconciliation
Transactions are recorded, categorised and reconciled with your bank; we ask you if a document is missing.
- 05
Monthly report
Your income and expense report is prepared; at year end your books are ready for the return.
Documents
What we need, what you receive
What we need from you
- Bank and payment account statements (every month)
- Sales and platform reports (e.g. Stripe, Amazon)
- Expense documents: invoices, receipts, subscription payments
- An explanation of money moving between you and the company
- Previous records, if any
What you receive
- Monthly income and expense report
- Categorised records reconciled with your bank
- Year-end-ready books and a document archive
- A summary of money moving between the company and its owner*
* Used for Form 5472 by foreign-owned single-member LLCs.
Transparency
Good to know
Any system works, if it's orderly
The IRS doesn't require a specific software or format; any recordkeeping system that clearly shows your income and expenses is acceptable. Electronic records follow the same rules as paper ones.
How long are records kept?
Per the IRS, records are generally kept for 3 years after the return is filed; in some cases this extends to 6 or 7 years, and indefinitely if no return was filed.
The business account feeds the books
According to the IRS, for most small businesses the business checking account is the main source for entries in the books; paying company costs from the company account keeps the books simple.
Form 5472 and recordkeeping
An LLC wholly owned by a foreign person is treated as a corporation for Form 5472 purposes and must keep books and records that show the return is correct; failing to keep them can lead to a penalty.
Official sources: IRS — What kind of records should I keep · IRS — How long should I keep records? · IRS — Instructions for Form 5472 · information verified: 22.10.2026
FAQ
Frequently asked questions
Bookkeeping is the record-keeping done every month during the year: transactions are recorded, categorised and reconciled with the bank, and a monthly report is produced. Accounting is preparing and filing the official returns from those records at year end (e.g. Form 5472 + pro forma 1120).
Even without sales, putting money in, taking money out or paying costs for the company are recorded, and they matter for Form 5472. We review your needs together in the intro call.
We process the statements of the bank and payment accounts your company uses (e.g. Mercury, Wise, Stripe, Amazon reports); we agree the statement format with you in the intro call.
Service fees are determined specifically for you, based on your needs, following the intro call. If you apply, the total amount payable is clearly shown at the payment step before any payment is made.
Together
Related services
Free intro call
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In a free 20-minute intro call we listen to your needs and choose the right package and process together.
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