What exactly is tax planning?
Tax planning involves the use of strategic business decisions which ultimately lower a business or individual’s tax balance due. Another term used for tax planning is “tax efficiency”. For example, if the owner of a construction company has significant profits they will come in for a tax planning consultation. We determine that they owe a significant amount of tax, and are looking for possible ways to reduce this amount. We may recommend the purchase of a work truck. By advising the business owner to purchase this truck, they can take advantage of IRS Section 179 which allows the business owner to deduct up to $25,000 of the purchase price in the current year. This simple, yet effective tax planning strategy will save the business owner thousands of dollars in taxes, while improving their business output since they now own a new truck.
Why do I need tax planning services?
Tax planning is the key to successfully and legally reducing your tax liability. If business owner comes to Boca Raton Accounting with the intent to save on taxes for 2016, we will go over various tax planning strategies. We go beyond tax compliance and proactively recommend tax saving strategies to maximize your after-tax income. Boca Raton Accounting will make it a priority to enhance our mastery of the current tax law, complex tax code, and new tax regulations by attending frequent tax seminars. Sometimes a few minutes of tax planning can save you thousands of dollars in taxes.
Can I save money with tax planning services?
Paying taxes to the IRS is extremely important and they must be paid on time, but that does not mean you should overpay. Businesses and individuals pay the lowest amount of taxes allowable by law because Boca Raton Accounting continually looks for ways to minimize your taxes with tax planning throughout the year, not just at the end of the year. With years of tax planning experience, our CPAs are able to help all types of individuals and businesses with tax planning.