Tax planning is the best way to maximize profit and reduce taxes. If you wait until after the end of the year, your options will be limited and the opportunity will be diminished. We take tax planning seriously and it is one of our most valuable client services. Failing to review the financials throughout the year and especially as year-end nears can result in lost tax reduction opportunities. Why pay more tax than you need to?
Knowing where you stand for tax purposes is the first step in tax planning. If you have a significant increase in sales or an unusual capital gain during the year, we can help you determine the tax impact so that there are no surprises come tax time. We stay on top of the tax law changes and take a proactive approach to planning with you to ensure you do not miss out on any tax saving opportunities.
The last quarter of the year, when you have a solid estimate for your expected profit, is a good time to review your tax situation to see what can be done before the end of the year to reduce taxes. We can also help you determine if you should pay in additional tax to minimize penalties and interest.
Optimizing Tax Credits
Focusing solely on decreasing your net profit to minimize tax is not the best approach. Sometimes realizing a profit so that you can utilize a tax credit will allow you to pay just as little tax while allowing you to keep more cash in your pocket. Other times you may find that taking more profit this year will avoid a high tax bill in subsequent periods.
Should you invest in Opportunity Zones? Opportunity Zones were instituted by the Tax Cuts and Jobs Act to create a benefit to improving distressed neighborhoods. There are tax benefits for investors but also risks that you must assess before you decide to invest – we can help you with the analysis and decision.
What Our Clients Are Saying
“Melinda has been the accountant for my company for almost 15 years. Her guidance and support has helped me manage my business successfully during a variety of challenges. Melinda is exceptional in her skill as a CPA but beyond that she is patient, kind and responsive when I need it most.”
ECS Psychological Services, P.C. and co-founder of Therapeutic Horses of Saratoga, Inc.