If you want to pay the absolute minimum to Uncle Sam, tax planning must be a year-round pursuit. With summer right around the corner, you can cash in on several key tax breaks by springing into action now. If you procrastinate until the end of the year, you'll miss out on valuable deductions and credits for yourself, your business and your family. This special report explains a dozen timely moves you should take before the leaves begin to fall.
Small Business Tax Deduction Strategies
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.
Did you buy a place in the country in the days before suburban sprawl? If so, you can nail down a tax deduction this year simply by agreeing to preserve the land in its pristine state.
Q: My company is being investigated for making illegal kickbacks. (I wasn't involved in the allegations.) If we are found guilty, are the payments at least tax deductible? No name, via e-mail
Yes, the new 15 percent top rate on capital gains is good news for real estate investors. But if you sell investment property, your actual tax bill can be much higher than 15 percent of your gains, due to earlier depreciation deductions. (Gains from prior depreciation write-offs are taxed at a 25 percent maximum federal rate.)
Q: My company pays a flat 30 cents a mile rate for car expenses. Can I deduct the difference between my costs and 30 cents per mile? A.Z., Atlanta, Ga.
Many employees forget—or don't realize—that employer-provided benefits make up a big portion of their compensation.
You've read the advertisements: Save money in the long run by replacing your regular monthly mortgage with a mortgage paid biweekly (every two weeks). It's a sound principle, and it can save you money. But don't assume it's always a slam-dunk.
Q. I'm at the stage of my life where I should reduce the size of my taxable estate. I am thinking of cashing in some mutual funds and giving the proceeds to my six grandchildren (ages 3 to 15). This should reduce my estate, and I can qualify for the gift-tax exclusion. I also want to reduce my assets in case I need to go into a nursing home, but I don't want to lose control of my funds. Does this make sense?
If you work at a central location—say, a company office downtown—and you take work home on nights and weekends, you typically won't qualify for home-office deductions. Reason: Your home office is not your "principal place of business." The downtown office is.
Real estate values are scorching hot in many parts of the United States. If you're sitting on some big-time appreciated property, check out the following three strategies for minimizing your tax bill