One of the best fringe benefits around is the tax exclusion for employer-paid group-term life insurance. But the exclusion is limited to the first $50,000 of coverage, hardly enough for you and other top employees. Strategy: Adopt an informal death benefit plan for a select group of employees. If you handle things right, your company can provide extra life insurance coverage at no tax cost to the employees.
Small Business Tax
Section 179 vehicles should be a key part of your small business tax deduction strategies. Can Section 179 property fit in with your business tax strategies?
Let Business Management Daily help you get each and every rental property depreciation credit and business tax deduction you’re entitled to.
Unless something dramatic happens soon, a valuable tax credit for parents of college students, the American Opportunity Tax Credit, will be wiped off the books. So, pay tuition bills on time. Generally, tuition for the fall 2012 semester is due before Sept. 1, 2012, while the deadline for the spring 2013 semester is Dec. 31, 2012.
The IRS is making it easier to realize tax benefits for temporary local lodging costs. New proposed regulations allow employees to deduct local lodging expenses that weren’t previously deductible.
Although numerous tax breaks may be going by the boards at year-end, older taxpayers don’t have to wait to see what happens to one tax provision that already expired. Strategy: Make a charitable donation from your IRA. In other words, have your IRA custodian transfer the funds directly to the charity without ever touching the money.
Undoubtedly, you’ve worked hard for a long time to amass your current wealth. It would be a shame if creditors or litigious individuals attack your family fortune. Strategy: Set up an Alaska trust to protect your assets.