As Kissimmee tax preparation experts, we always advice our tax clients that as the year draws to an end, you can always avail quite a few saving strategies to help you out. And if you are a small business owner, it would be all the better. You can help yourself out in plenty of ways; here is a look at the most popular tax saving strategies on the list. Follow these and you would be able to save yourself money in taxes. For all the industry experts, these strategies are a very important part of tax preparation in Kissimmee, so you can sure figure their importance.
Kissimmee Tax Preparation Tip 1: Shift your income and purchases
Many business owners make use of the cash – based accounting method. In the simplest terms, it means that you do not have to pay any tax on your income until you get. It also implies that there is no need for you to claim tax write – offs until the entire income amount has been spent. Ask your customers to delay their payments until the 1st of January next year, and pay your bills before that.
Kissimmee Tax Service Tip 2: Buy any equipment you need before the year ends
According to the laws, you can write off any purchase that you want to, be it a Smartphone or a printer. However, in terms of tax, there would be not many benefits left for you to enjoy after December is over. So if you have planned any equipment purchase, do it before the year ends.
Another way to save money on tax preparation in Kissimmee is that if you purchase a vehicle, you can enjoy some very attractive tax incentives, provided you do this before the 31st of December. Even if the vehicle is old, you can still get a very impressive deduction. You can even get your hands on some electrical appliances because they also come along with quite good federal credits.
Kissimmee Tax Service Tip 3: Give money to your family
Time you catered to the financial needs of your family. Put them on your payroll and appoint them at any suitable positions. The money that you gave them would be a business expense whether you provide a cleaning surface or an upholstery service. Want to improve the situation? Give them bonuses and you would even have to pay less in taxes. True, your child would have to pay some tax on his part, but that is a lot less than what you would be able to save.
Kissimmee Tax Service Tip 4: Plan a vacation
Any upcoming holidays? Plan them out and include them in your business expenses. You would be quiet surprised at the deductions you can get this way. Just make sure that the expense you add is related to your business such as dinner with a client or a business meeting.
Kissimmee Tax Service Tip 5: Contribute to 401(k)
Contribute your income to a 401(k) account. Not only will this reduce the tax amount that you have to pay, you would also be able to build your retirement savings.
So did you like the above savings and tax preparation in Kissimmee guidelines? Try them out, and you would admire the impressive amounts you can save.
If you need more information about our, Kissimmee accounting and tax services, please contact us at 407-344-1012. Freedomtax Accounting’s staff has been providing honest accounting services and tax services for 15 years. Our Orlando accounting and tax firm has its main offices in Kissimmee, FL. Our services are provided nationwide, but mainly in the Central Florida market to areas like Orlando, South Orlando, Kissimmee, St. Cloud, Poinciana, Clermont, Davenport, and Hunters Creek, FL. Our tax accountants and IRS enrolled agents (irs ea) specialize in corporate accounting and bookkeeping, tax services, tax preparation, back taxes help, tax debt relief, tax resolution, tax planning, itin numbers, incorporations, and non profit 501c3 tax exempt status applications.