Tax-Saving Strategies
There is no single trick. We look at your income, your business and your property together, then use the strategies the law allows for your situation. Every strategy depends on your facts, so we show you the numbers before you act.
What's included
- Business structure: when an S corporation with a reasonable salary may reduce payroll taxes
- Retirement plans for owners: SEP-IRA and Solo 401(k)
- Qualified business income deduction (Section 199A, federal)
- California pass-through entity elective tax for eligible partnerships and S corporations
- Real estate: depreciation, cost segregation and 1031 timing
- Estimated taxes and year-end timing of income and expenses
This is for you if
- You owed more tax than expected last year
- Your business income grew and your structure has not changed since you started
- A large sale, purchase or life change is coming up
Questions
When is the best time to plan?
Before the year ends. Most strategies, such as retirement contributions, the S corporation salary and the timing of purchases, have to be in place by December 31 or by the filing deadline.
Is an S corporation always better?
No. It can lower payroll taxes once profit is high enough, but it adds payroll, a separate return and California's 1.5% tax with an $800 minimum. We compare both with your numbers.
Have a tax question?
Call the office or send a message, and we will get back to you as soon as we can.