For many of you, the last quarter of the fiscal year-end is here. Have you talked to, or at least scheduled a meeting with, your tax professional yet?
If you haven’t, we recommend starting the conversation. What’s the point? If you expect to have taxable income, now is the perfect time to project what your taxable income might look like; giving yourself time to take action or prepare for the cash outlay to pay Uncle Sam.
Your tax professional can help you strategize legitimate ways to minimize your tax burden or help you avoid surprises on tax day.
Maybe you are a cash basis taxpayer and you can accelerate (or hold off – because it’s important to think about future tax years too!) paying your vendors.
Maybe you are in the position to purchase fixed assets and take advantage of accelerated depreciation methods. Or again, maybe your strategy will be different based on expectations for future tax years.
Maybe you have related party balances (we are talking transactions that aren’t at an arms-length … owner balances, related entity balances, etc.). Uncle Sam has special rules for those and you don’t want to be surprised.
Maybe you are considering your retirement savings, deadlines for retirement plans often correlate to tax deadlines. Not sure about retirement savings options? Click here.
Whatever your situation, if you are expecting taxable income, consider talking to your tax professional. Don’t have one yet? We have hundreds of tax professionals who rock (and have access to national resources which is pretty awesome)!