American Finasco > Blog > End-of-the-Year Tax Tips

As the end of the year approaches, so does the end of our 3-part blog tax series. Throughout the series, we have explored Tax Tips for Small Businesses for Q1, Q2, and Q3 Small Business Tax Tips. The end of the year brings several important tax-related tasks and strategies small businesses should consider to optimize their financial position. 

Review your financial records: Take the time to thoroughly review your financial records, including income statements, balance sheets, and cash flow statements. Ensure that your records are accurate and up-to-date. 

Accelerate or Defer Income Expenses: Consider whether you can accelerate deductible expenses or defer income to minimize your taxable income for the current year. 

Review Business Structure:  Assess whether your current business structure is still the most tax-efficient for your business. Changing your structure can have tax implications, so consult a tax advisor. 

Maximize Deductions: Make sure you have claimed all available deductions, such as those related to home office expenses, vehicle expenses, retirement plan contributions, and healthcare expenses. 

Charitable Contributions: If your business is considering making charitable contributions, do so before the end of the year to take advantage of potential deductions. Also, make any planned contributions to retirement accounts to reduce your taxable income. 

Review Tax Credits: Investigate any available tax credits, such as the Small Business Health Care Tax Credit, Work Opportunity Tax Credit, or Research and Developments Tax Credit.

Estimated Tax Payments: Ensure you have made all required tax payments for the year. Underpayment can result in penalties and interest. 

Remember that tax laws can change, and planning should be ongoing. Staying organized and proactive can help you maximize tax benefits, minimize tax liability, and confirm compliance with tax regulations.

If you find yourself overwhelmed with tax debt, call American Finasco. We can help manage your tax or commercial debt while you stay focused on your business. Visit Contact Us and complete our Online Form for a free consultation or call (800) 299-2909. We look forward to speaking with you.