Albert Einstein was quoted as saying “the hardest thing in the world to understand is the income tax”
Income taxes are your single largest expense. There are substantial savings to be had by using tax strategies and many do not take advantage of these strategies. The IRS is in the business of collecting taxes, they will never tell you about a tax deduction you did not claim. In order to minimize your income tax it is important to realize that tax planning is a year-round activity. Starting the year with a financial plan as well as contact with your CPA throughout the year helps you make financial decisions relative to the tax benefit or liability they create. I would be happy to talk about the following tax saving strategies and many more in a free consultation.
- Contribute to a Tax Deferred Retirement Account
- Contribute to a Health Savings Account
- Deduct job related mileage and auto expense
- Deduct job related education expense
- Deduct a home base office when used for your employer
- Always deduct capital losses even if you have no capital gains in that year
- Gift assets to your children
- Look for deductions/credits in previous years you may have missed and file an amended return.