Features

Built for accountants who need more than bookkeeping

Every feature in Tax2Books exists to solve a real problem US accountants face daily. No bloat. No enterprise complexity. Just the tools that matter.

Core Accounting

Dual-Basis Accounting

Record every transaction once. Toggle between cash-basis and accrual reporting instantly — no duplicate entries, no reconciliation gap, no spreadsheet gymnastics.

  • Single source of truth for all transactions
  • Toggle cash or accrual at report generation time
  • Revenue recognition differences calculated automatically
  • Side-by-side comparison reports for cash vs. accrual
  • Correct treatment of prepaid expenses, deferred income, and receivables
Why it matters

US tax law requires cash-basis returns for most small businesses, while GAAP financials demand accrual. Tax2Books handles both from the same ledger — the way it should always have worked.

Tax Compliance

IRS Form Line Mapping

Map every account in your chart of accounts directly to an IRS form line. Produce a tax worksheet in seconds — no more cross-referencing trial balances with tax schedules.

  • Supported forms: Schedule C, E, F, 1120, 1120-S, 1065, and more
  • Account-level mapping stored per company
  • Tax worksheet export summarized by form line
  • Flags unmapped accounts before export
  • Consistent mappings across fiscal years
Why it matters

CPAs spend hours manually pulling trial balance figures into tax software. Tax form mapping closes that gap — a trial balance becomes a draft tax worksheet automatically.

Year-End Compliance

1099 Vendor Tracking

Mark vendors as 1099-eligible at setup. Tax2Books accumulates payments through the year and flags any vendor crossing the IRS $600 threshold automatically.

  • Vendor-level 1099 eligibility flag
  • Automatic payment accumulation per vendor per year
  • Threshold alerts when vendors cross $600
  • 1099-NEC and 1099-MISC report generation
  • EIN / SSN tracking per vendor record
  • Year-end export for filing software
Why it matters

Missing a 1099 means IRS penalties. Manual tracking in spreadsheets is error-prone. Tax2Books bakes 1099 compliance into the normal accounts payable workflow.

Project Accounting

Job Costing

Assign journal entries to jobs (projects). View per-job income and expense, budget vs. actual, and the all-jobs matrix — the standard view for contractors and construction firms.

  • Unlimited jobs per company
  • Revenue and expense lines tagged to jobs
  • Per-job P&L with configurable columns
  • Budget entry per job for variance reporting
  • All-Jobs matrix for practice-wide visibility
  • Job status tracking (active, complete, archived)
Why it matters

Any practice serving contractors, builders, or project-based businesses needs job costing. It's not an optional module — it's standard accounting for that industry vertical.

Bank Reconciliation

Bank Feeds & Smart Matching

Connect client bank accounts via Plaid. Imported transactions are matched to ledger entries using configurable rules — by amount, memo pattern, or vendor name.

  • Plaid-powered connections (10,000+ financial institutions)
  • Automatic transaction import
  • Rule-based matching: amount, description, account
  • Manual match override always available
  • Recurring entry templates for predictable transactions
  • Reconciliation report with cleared vs. uncleared summary
Why it matters

Bank reconciliation is the most time-consuming task in bookkeeping. Smart matching rules turn a four-hour monthly task into a fifteen-minute review.

Compliance & Security

Immutable Audit Trail

Every action — every entry created, edited, voided, or deleted — is written to an append-only audit log. Immutable by design, accessible by authorized users.

  • Append-only log (no delete, no override)
  • User, timestamp, IP, and change detail per event
  • Voided entry history preserved in full
  • Role-based audit log access
  • Export audit log for external review
  • SOC 2 Type II aligned architecture
Why it matters

Accounting software that lets you quietly edit or delete history is a compliance liability. Tax2Books stores what happened, who did it, and when — permanently.

Plus everything else you'd expect

The foundation every accounting practice needs, without the setup complexity.

Financial Statements

Income statement, balance sheet, and trial balance. Cash or accrual. Printable PDFs.

Chart of Accounts

Flexible account hierarchy. Asset, liability, equity, income, and expense types with sub-account support.

General Ledger

Full double-entry ledger with debit/credit entry, filtered views by account, date, and job.

Recurring Entries

Schedule repeating journal entries — monthly rent, depreciation, loan payments — and auto-post on schedule.

Role-Based Access

Four roles per company: Owner, Admin, Accountant, Viewer. Granular permissions, zero client data leakage.

Multi-Entity Support

Manage unlimited companies from one account. Each entity is fully isolated with its own ledger and settings.

See it for yourself — free

Start a free account, load sample data, and explore every feature with no time limit during beta.