As an accounting professional, the question we receive most often is: what else am I forgetting to deduct? This for most people is an extremely valid question. As in, what else can I add to my filing that will result in tax savings? The question really should be, Am I setting up my tax strategy to yield the greatest benefit to my long-term goals?
A few items of note are:
Should you be looking at contributing to a retirement account such as a Roth or traditional IRA prior to April 18th?
Are we trying to purchase a house in the next few years and how does this tax filing impact our chances of getting a loan?
Should you be communicating with your financial advisor and accountant more to ensure you are getting the best utility of any capital gains/losses?
Should you pay your kid and when is it appropriate to do so (if you are self-employed)?
Is your tax withholding from your employer, correct? Are you better off getting more money throughout the year instead of collecting a large refund?
As you go through your tax season it is our recommendation that you not only take a look at what you can do about last year's taxes but how to set yourself up for the next year using that information.
Michael Solomon, Lead Accountant, CEO, Accounting Personalized
Tax Strategy: What else I am forgetting to deduct?