| The biggest tax return mistake that individuals | | | | Tax planning takes the fundamentals a bit further |
| and small business owners make is failing to do | | | | and can be compared with a football teams |
| proactive tax planning. There is little that your | | | | reviewing of game film and preparing for the |
| CPA or tax preparer can do with a shoe box of | | | | game in advance of game day. Tax planning is |
| receipts or your computer file on April 15th. After | | | | your financial defense. Proactive tax planning is |
| the first of the year, there are only a handful of | | | | about giving you a plan for minimizing your taxes. |
| maneuvers that can be done that will actually | | | | What tax strategies should you adopt now to |
| lower your tax liability. The time to start planning | | | | minimize your tax bill at the end of the year? Are |
| for taxes is early in the tax year - not after the | | | | there better ways to structure the financial side |
| tax year is complete. | | | | of my business that would result in me spending |
| Look at how a defense prepares for a football | | | | less in taxes? |
| game. Obviously, they practice hard on the field | | | | Some individuals and small business owners are |
| and pay attention to fundamentals and improving | | | | afraid of tax planning because they think it means |
| their skills. They also spend a good deal of time | | | | using aggressive strategies so that they can pay |
| watching film of their upcoming opponent. They | | | | less in taxes. In reality, proactive tax planning is |
| want to know every potential play that might be | | | | not aggressive at all. It simply involves analyzing |
| thrown their way and be prepared to defend | | | | the tax code and and individual or small business |
| against it. If there is a hole in the offensive line | | | | owners personal tax situation to make sure that |
| that can be exploited to their advantage, they | | | | they are using every legal strategy for minimizing |
| look for it. | | | | their taxes. For most people, taxes are one of |
| Tax planning is similar to that of how a football | | | | their largest expenses. It only makes sense to |
| team prepares. You want to know the | | | | focus on a financially defensive strategy to |
| fundamentals. Examples of fundamentals would | | | | minimize your largest expenses. Contact a |
| include how you keep up with your expenses and | | | | proactive tax professional today that can help |
| record them, or how you track your business | | | | you to minimize your tax liabilities before it it too |
| mileage. The fundamentals are the basics of | | | | late. |
| running a tax savvy business. | | | | |