If you are a small business owner, it is likely your goal to achieve financial health both for your business and for you personally. To that end, you may spend hours each day thinking of ways to increase your profits and reduce expenses.
However, are you really taking advantage of every tool available to help you? For instance, have you considered the necessity of proactive tax planning? If the extent of your planning has been jotting down a reminder about when your business tax return must be prepared to meet the IRS deadline, you are most likely leaving money on the table.
Effective tax planning involves much more than simply choosing an accountant to prepare your returns once a year.
Tax planning is actually a process of looking at various tax options in order to determine when, whether, and how to conduct your business transactions in such a way that your taxes are considerably reduced. Since a reduction in taxes due translates directly into money in your bank account, it is a step worth taking.
A professional tax planner works out a personalized strategy to help you accomplish the following things:
- Reduce the amount of your taxable income.
- Lower your tax rate.
- Claim all legal, available tax credits for you.
- Control when and how you have to pay tax.
- Avoid any tax penalties and pitfalls that you might encounter when dealing with the IRS.
Additionally, a tax planner can help you find out how your business income will affect your personal income. This is something that many small business owners have trouble with, as it is often difficult to discern the difference between business interests and personal interests.
If you would like more information about how tax planning can increase your bottom line both professionally and personally, please contact us at (208) 687-0508 or firstname.lastname@example.org. We will work with you to craft a comprehensive tax strategy to make the most of your situation and reduce your tax liability today.