Category: Tax Planning During a Recession

Turning Prior Losses into Current Cash Flow

Turning Prior Losses into Current Cash Flow

Legislation has expanded the opportunity to claim refunds from previous years.  Before the American Recovery and Reinvestment Act of 2009, a business could carry a current loss back 2 years to essentially reduce taxable income and recoup taxes paid in the prior two years.  With its passage, the IRS now permits a business to carry a current loss back 5 years to recover previously paid taxes.  But it is critical that proper tax planning is utilized with this opportunity.  The new provision allows the business owner and tax planning professional to strategically select a 3, 4, or 5 year carry-back period.  Improper planning will limit both current and future refund opportunities.

Finally learn how to keep more of the money your business earns!  Call us for help or with questions!

The Business Wealth Preservation Group is a professional services firm dedicated to providing superior individualized and custom service to individuals and their businesses in the areas of asset protection, tax planning, exit strategies, and wealth building. Simply put – we want to educate you on all relevant opportunities to put more dollars into your pocket, your business and your future.

We focus on leading edge, sophisticated, and safe business strategies that will help business owners structure, operate and maintain their business to take advantage of business and tax laws rather than being encumbered by them. We partner with the business, the accountant, and the attorney to ensure the business owners are capturing all available benefits that align with their business and personal goals.

www.BusinessWealthPreservation.com
Call Us Toll Free: (888) 938-2975 (888-WE-TAX PLAN)
Email: tfoster@wetaxplan.com

Tax Deferral and Income Deferral Strategies

Tax Deferral and Income Deferral Strategies

Tax Deferral – Increase Your Cash Flow

Big corporations understand and practice the following concept.  Does YOUR business?  Use strategic Tax Planning to minimize all current taxes including income, payroll, excise, and sales taxes.  Next, legally defer or delay as much tax as possible. Why pay $10,000 in taxes now if it can be deferred to later years?  Why not use that additional cash flow to create substantially more business income?  Finally, pay the taxes that can’t be reduced or deferred. This will ensure you are paying the minimum amount of tax each year and giving your business the cash flow it needs to survive.  Strategic tax planning sounds simple when you understand it.  Most importantly, with the right professional help, it is very achievable.  If you don’t believe deferred taxes are great for business cash flow and personal wealth building please read this.

http://www.businesswealthpreservation.com/einstein-tax-planning.html

Income Deferral – The Time Value of Money

Comprehensive tax planning should include a plan for the methods of accounting and the timing of expenses and revenues.  Planning may permit a business to delay income recognition and accelerate expenses and deductions.  Tax is a cash outlay.  By reducing income subject to tax in a tax year and increasing deductions in a tax year, you reduce the cash outlay for taxes that year.

Depreciation – Knowledge and Planning creates Cash Flow

Have you purchased, built, or modified a building, office, warehouse, or manufacturing facility?  A review of the depreciation method that you are using could significantly reduce your taxes this year and create substantial cash flow.  Read the Cost Segregation Section of our Blog for a detailed explanation.

http://businesswealthpreservation.com/blog and select Cost Segregation

Finally learn how to keep more of the money your business earns!  Call us for help or with questions!

The Business Wealth Preservation Group is a professional services firm dedicated to providing superior individualized and custom service to individuals and their businesses in the areas of asset protection, tax planning, exit strategies, and wealth building. Simply put – we want to educate you on all relevant opportunities to put more dollars into your pocket, your business and your future.

We focus on leading edge, sophisticated, and safe business strategies that will help business owners structure, operate and maintain their business to take advantage of business and tax laws rather than being encumbered by them. We partner with the business, the accountant, and the attorney to ensure the business owners are capturing all available benefits that align with their business and personal goals.

www.BusinessWealthPreservation.com
Call Us Toll Free: (888) 938-2975 (888-WE-TAX PLAN)
Email: tfoster@wetaxplan.com

Tax Planning During a Recession

Tax Planning During a Recession

With the continued economic issues, many business owners struggle to maintain revenue and profits.  While the economic pundits pontificate about the severity and length of the current recession, it will clearly ease at different times for different industries.  The real question for you, is can my business survive the storm and thrive in the next economy.

One of the biggest mistakes I see business owners make, is a failure to engage in proactive tax planning.  There is a myth that tax planning is not necessary if business profits are declining.  If you buy into this myth, or ease your mind by convincing yourself you don’t have the time to think about it, you are greatly increasing the odds that your business will fail. Remember, tax compliance is a necessary evil; tax planning creates and capitalizes on opportunities.

Tax planning in good times will significantly increase your income, cash flow, and personal wealth building.  Tax planning in difficult economic times may create the cash flow that enables you to survive. If taxes are your third or forth largest expense, can you really afford to ignore them!!  You shop and negotiate every cost, purchase, and expense associated with your business, but blindly write those checks to the IRS and state.  Why??

Read our Blog for critical information regarding:

- Proper utilization and planning for current and prior Net Operating Losses

- Income and Tax Deferral

- Health and Retirement Benefits

- Payroll Taxes

- Owner specific Compensation and Benefit Planning

- Proper Documentation and Implementation of Tax Planning and Strategies

Finally learn how to keep more of the money your business earns!  Call us for help or with questions!

The Business Wealth Preservation Group is a professional services firm dedicated to providing superior individualized and custom service to individuals and their businesses in the areas of asset protection, tax planning, exit strategies, and wealth building. Simply put – we want to educate you on all relevant opportunities to put more dollars into your pocket, your business and your future.

We focus on leading edge, sophisticated, and safe business strategies that will help business owners structure, operate and maintain their business to take advantage of business and tax laws rather than being encumbered by them. We partner with the business, the accountant, and the attorney to ensure the business owners are capturing all available benefits that align with their business and personal goals.

www.BusinessWealthPreservation.com
Call Us Toll Free: (888) 938-2975 (888-WE-TAX PLAN)
Email: tfoster@wetaxplan.com


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