Ensuring tax compliance is vital for small businesses to avoid penalties and legal issues. Keep meticulous records of all financial transactions and receipts. Familiarize yourself with tax deadlines and set reminders to file on time. Invest in accounting software or hire a professional to streamline the process. Regularly review and update your tax strategies to reflect changes in legislation. Lastly, take advantage of any tax deductions or credits available to small businesses. Prioritize compliance for a stable financial foundation.