Use these tax tips to increase your savings and minimize the amount of federal income tax you’ll pay in 2021 and in years to come.
Business owners have not forgotten the stress of balancing the books or digging through files to get the necessary tax preparation paperwork. There are less than 73 days left in 2020 – have you gotten ahead on next year’s business taxes? Our tax experts outline three valuable tax strategies you need to adopt before the holiday rush, so you can get organized and save money in the process.
Determine Which Specialty Tax Benefits Your Business Qualifies For
What you don’t know can hurt you. Every year, the US Treasury awards tens of millions to companies across the country for research and development work, energy efficiency efforts and more. If you don’t know what your business qualifies for, take a look at four corporate tax opportunities below.
Specialty Tax Perks for Businesses:
Plan Next Year’s Hiring Numbers
Staff wages and activities are handsomely rewarded through state and federal Research and Development tax credits. If you anticipate your staff growing, you can take the opportunity to leverage your employee wages for tax credits as your company expands.
One important aspect of the R&D Tax Credit is the ability for it to integrate payroll taxes into the final tax credit. For many businesses and startups, this is especially valuable, because it gives them capital that they can then reinvest back into their staff, activities and overhead costs.
Organize New Property or Renovation Paperwork
A Cost Segregation Study reclassifies some aspects of a property to be depreciated more quickly, translating to big savings for owners. In fact, up to 40 percent of the cost of any commercial building has the potential to be reclassified. This is why this engineering-based tax method has saved our clients tens of thousands of dollars they didn’t even know was available. Thoroughly organizing your property paperwork will help you start the process of this highly lucrative tax strategy.
Meet With a Tax Expert
To truly receive personalized advice about your particular business and industry, have an in-depth conversation with a professional. Our team has worked with hundreds of businesses to enhance their savings and increase their cash flow. Contact us at 561-257-3436 to sign up for your free assessment of benefits.