Category B taxpayers often sit between simplified and fully formal regimes. As turnover and complexity grow, expectations around documentation increase.
Practical habits that protect Category B businesses
- Record every sale and purchase with dates and parties
- Separate personal and business cash
- Keep rental or side activities in clear sub-ledgers when relevant
- Close monthly with a simple trial balance
EthioTech Leaders Accounting is designed so owners can start clean and scale toward fuller Category A discipline without re-implementing software later.
Educational overview only — verify current law with a professional.