Photo © Betty Copeland
Most people are interested in simple tax savings suggestions. If you're not already taking advantage of this idea, start now. Your clients--and you--can accelerate the recovery of expenses for your business by thinking slightly ahead.
Financial advisors, CPAs, tax and financial planners recommend a two-year tax trend analysis to identify opportunities and errors for new clients. There are some opportunities for self-employed clients--and financial advisors!--to think about for next tax season.
Buy supplies for next year at the close of the tax year. Even though the supplies won't be used until the following months, take advantage of deducting the costs in the current tax year.
This simple strategy helps clients recover the expenses sooner rather than later. Going forward, clients should continue to accelerate costs for the following tax year by the end of this fiscal year. Additionally, using a credit card to expense deductions allows clients to book the costs in the current fiscal year without having to pay for them until they receive the credit card bill!