Expert Tax Management Tips for Small Businesses

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Expert Tax Management Tips for Small Businesses
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• For all companies, saving money on their taxes
  forms an essential part of their overall business
  strategy, but for small businesses, what they can
  save in taxes, could be the difference between
  success and failure.
• Engaging with a tax professional is the best way
  to ensure that you can expertly manage your
  businesses taxes and save money, and below are
  some of the ways in which they will help you to
  achieve this

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• Get you contributing to a retirement plan
• For small businesses making a profit, income can
  be sheltered in a qualified retirement plan, and
  youll gain a tax deduction for your
  contributions, along with deferred taxes on
  earnings on contributions.
• If you have any employees, theyll definitely be
  grateful for the opportunity to save money for
  their retirement.

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• Help you adopt an accountable plan
• By adopting an accountable plan for reimbursing
  an employee for business expenses, you can help
  them save income taxes, and your company to save
  payroll taxes. Because the expenses are not being
  treated as an income for the employee, the
  reimbursements arent included in their W-2 form
  and payroll taxes can then be saved on these
  amounts.

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• Arrange for you to defer your income and
  accelerate deductions
• One way of increasing your tax deductions in the
  current tax year is by putting off income into
  the next tax year, and this can be achieved in a
  number of ways. One is to send your bills out a
  few days later, in the very last month of the
  year, helping you to get paid a few days later in
  January of the following year, and having the
  opportunity to defer the income, instead of
  getting paid in December and having to declare it
  straight away. Another method is to see what
  bills are due in January, and get them paid off
  before the end of December, enabling you to take
  the deduction during the current year.

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• If youre struggling to get your head around any
  of these tips, it really does pay to consult with
  a tax professional, and have a third-partyplan
  and prepare your small business taxes.
• Make sure your business is properly structured
• Changing the structure of your small business as
  it grows and develops is essential, but many
  business owners overlook this aspect of their tax
  management strategy. This might include something
  like structuring your company as a C corporation
  rather than an LLC or S corporation, to gain tax
  advantages a tax advisor can guide you on this.

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• Advise you to swap employee raises, for benefits
• Compensating your employees by increasing your
  contribution to their health insurance costs,
  rather than giving them the same amount in terms
  of a salary increase, could save taxes for you
  and your employees. When employers give raises to
  their employees, they have to pay income tax,
  FICA tax and Medicare tax on those wages, but if
  they pay them more for their medical insurance,
  they no longer have to pay income tax, FICA,
  Medicare and unemployment taxes both the
  employer and the employee save money.

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• Tax professionals will have a whole host of
  expert tax planning and management tips to help
  small business owners, and engaging with them
  could save you money right from the outset.
• At Heyer Associates, we proactively assist our
  individual and small business clients in meeting
  their goals. Our key area of focus is ensuring
  that our clients remain compliant with federal
  and state tax laws by providing them with high
  quality accounting and tax service Coral Gables.
  If you are looking for individual tax preparation
  in Miami, Heyer Associates would be a right
  option.