For many businesses (S Corporation) tax returns are due March 15th. Is your business ready? Read on for ways to significantly reduce your tax burden and set you up for success in the new year.
Here are some essential tax-saving tips:
- Maximize Deductions and Credits: Are you leveraging all available deductions and credits for your business? Click here for some common deductions.
- Check your contributions to Retirement Plans: Contributions to retirement plans like SEP IRAs or 401(k)s can provide both an immediate tax deduction and long-term benefits for you and your employees.
- Don’t forget Employee Expenses: Employee reimbursements for business-related expenses (travel and equipment) are not considered taxable income for your employees and are deductible for your business. Learn more.
- Review Your Business Structure: The structure of your business (LLC, S-Corp, etc.) influences how taxes are applied. Consider whether restructuring could reduce your tax liability for 2024 before finalizing your return by March 15th.
- Offer Health and Dependent Care Benefits: Setting up health insurance benefits or flexible spending accounts (FSAs) can help lower your tax obligations. This is a good time to review your benefits packages to maximize savings for both you and your employees.
- Hire a Tax Professional: Time is running out to make last-minute adjustments before filing. A tax professional can help ensure you’re taking advantage of all available strategies to minimize your tax burden and file your returns on time.
Don’t wait until the last minute to file your business returns. By taking advantage of these strategies now, you can reduce your taxable income and set your business up for a successful year ahead.