Hello November. You arrived so soon and where did the time fly? This is the time to reduce tax liabilities. Did you make too much in 2017 in your business? There are ways to reduce tax liability before the end of the year. One of the easiest ways is to send invoices out late in December so you will not receive payments until next year. Another way to reduce taxes is to take deductions for equipment this year. Did you buy new computer hardware or software? What about other equipment you financed? These are legitimate deductions so don’t forget to tell your accountant or CPA about these.
For the individuals, it’s time to look at your FSA (Medical Flexible Spending Account) and see if money carries over into next year. If it doesn’t you might want to make appointments for any treatment you need to take advantage in 2017. If you did not have health insurance this year, expect to pay a tax penalty. Since the Affordable Care Act is still in effect as far as the IRS is concerned, you need to think about your options for 2018. No one knows exactly what might happen if it is repealed.
Another thing to remember is that December 31 is a Sunday so the last day to take care of reducing your liability may be the Friday before, December 29.
Consult with a tax expert before you get wrapped up in the holidays and it is too late. Call CPA Les Merritt today at (919) 269-8553 and see what you can do before the holidays are upon us.