5 Great Year-End Business Tax Planning Tips

A common mistake that most entrepreneurs make is leaving their tax planning for the last minute. If you haven't already started planning your taxes, the time to take action is now. The end of the year is fast approaching- don't lose out on opportunities that could lower your taxes. No matter what type of business you have, tax planning is essential to ensure a successful end of year. 


As a busy entrepreneur, you need smart ways to conduct your business. There are a number of factors to consider when it comes to business taxes, and it can be difficult to know where to start. We have compiled some key tips that can help you get the most out of your tax planning. 


This blog post shares 5 great year-end business tax planning tips to help you have a successful end of year. These include how to get organized fast, tax laws, and ways to save on your taxes. By the end of this post, you will have a better understanding of the steps you need to take to ensure a successful tax season.


1. Get organized

One of the most important things you can do when it comes to business taxes is to get organized. This means keeping track of all your receipts, invoices, and tax documents. This can seem like a daunting task, but it will be worth it in the long run, especially in the event of an audit. The best way to get organized is to create a system that works for you. This might mean setting up a filing system, using accounting software, or hiring a bookkeeper. Whatever method you choose, make sure it is one that you will be able to stick to. 


2. Understand the changes

Another important tip for successful business tax planning is to stay up-to-date on the latest tax changes. This can be a difficult task, as the tax code is constantly changing. However, there are a few resources that can help you stay informed. First, you can check the IRS website for information on the latest tax law changes. You can also sign up for email or RSS feeds from the IRS to get updates as they happen. Finally, you can consult with a tax advisor to get the most up-to-date information. 


3. Consider energy-saving investments

If you own a business, there are a number of energy-saving investments you can make that will save you money at tax time. These investments can range from energy-efficient appliances to solar panels. Not only will these investments save you money on your energy bills, but they can also provide tax breaks. Energy-saving investments can help you reduce your taxable income, which can save you money at tax time. 


4. Defer income

Another great way to reduce your taxes is to defer income. This means delaying payment on invoices or other income until the following year. By deferring income, you can reduce your taxable income for the current year. However, it is important to note that you will still be responsible for paying taxes on the deferred income in the future. This is why it is important to consult with a tax advisor to see if deferring income is right for your business. 


5. Review your annual expenses

Finally, it is important to review your business expenses on a regular basis. This will ensure that you are only deducting the expenses that are necessary for your business. When you are reviewing your expenses, be sure to keep track of receipts and invoices. This will help you properly document your expenses come tax time.

Closing Statement

As a business owner, it's wise to be mindful of your taxes. While it may seem like a daunting task, these tips are just a few of the many things you can do. Give us a call on (405) 384-4900 and speak to our friendly accountants so you can be sure to have a successful end of year.

Professional Image of Marc Boulanger, CPA

Marc Boulanger


Marc views his accounting business as an extension of his family. And while he holds a Bachelor of Arts in Business Administration and Accounting and a Masters of Science in Accounting, he values traveling around the country with his wife of 30 years and 5 kids, Marc learned that communication is the key to effective team work.


Recent Posts

CPA preparing tax returns for a small business

Why Your Business Needs a CPA for Tax Return Preparation

By Marc Boulanger • December 24, 2024
Tax season can be a daunting time for business owners, especially when juggling the complexities of business tax returns. Whether your business operates as a C Corporation, S Corporation, or Limited Liability Company (LLC), navigating the intricacies of the tax code requires expertise. This is why enlisting the help of a Certified Public Accountant (CPA) is not just a smart choice—it’s essential. At Boulanger CPA and Consulting PC , we specialize in providing comprehensive tax preparation services for businesses of all sizes. Let’s explore why partnering with a CPA is the key to ensuring compliance, maximizing tax benefits, and minimizing stress. The Unique Tax Requirements of C Corps, S Corps, and LLCs Each business structure comes with its own tax obligations and challenges. Here’s a closer look: 1. C Corporations (C Corps) C Corporations are taxed as separate entities, which means they pay corporate income tax on profits. Key considerations include: Double Taxation: Profits are taxed at the corporate level and again when distributed as dividends to shareholders. Deductions: Employee benefits, operating expenses, and certain investments can reduce taxable income. Filing Requirements: IRS Form 1120 and potentially state-level corporate tax filings. 2. S Corporations (S Corps) S Corporations operate as pass-through entities, meaning income, deductions, and credits pass through to shareholders. Challenges include: Shareholder Compensation: Ensuring reasonable compensation to avoid IRS scrutiny. K-1 Forms: Accurately preparing Schedule K-1s for all shareholders. Compliance: Filing IRS Form 1120-S and managing distributions versus salaries. 3. Limited Liability Companies (LLCs) LLCs are flexible in terms of taxation and can elect to be taxed as a sole proprietorship, partnership, or corporation. Key aspects include: Default Classification: Understanding whether default taxation suits your business or if electing S Corp status offers advantages. Self-Employment Taxes: Properly accounting for members’ self-employment tax liabilities. Filing Requirements: IRS Form 1065 for multi-member LLCs or Schedule C for single-member LLCs. These complexities make it clear: business tax preparation is not a one-size-fits-all process. Why Hiring a CPA Is Crucial 1. Expert Knowledge of Tax Laws Tax laws are constantly changing. A CPA stays up-to-date on these changes and ensures your business remains compliant while taking advantage of every available deduction and credit. 2 . Strategic Tax Planning Beyond filing returns, a CPA provides year-round tax planning. This includes: Structuring your business for optimal tax efficiency. Advising on the tax implications of major business decisions. Preparing for future changes in tax laws. 3. Accuracy and Compliance Mistakes in your tax returns can lead to audits, penalties, or missed deductions. A CPA ensures accuracy and adherence to IRS requirements. 4. Time Savings Tax preparation is time-consuming. By outsourcing this task to a CPA, you can focus on growing your business instead of navigating forms and calculations. 5. Audit Representation If the IRS comes knocking, your CPA can represent you, ensuring your business’s interests are protected. Why a Small Business Specialist CPA Is the Best Choice Not all CPAs are the same. Working with a small business specialist, like Boulanger CPA and Consulting PC, ensures your tax needs are met with tailored expertise. Here’s why we stand out: Industry Expertise: We understand the unique challenges faced by small businesses across various industries. Customized Solutions: Our strategies are designed to fit your specific business structure and goals. Proactive Support: We’re not just here during tax season—we provide ongoing advice and support year-round. When you choose Boulanger CPA, you’re partnering with a team that’s committed to your success. How Boulanger CPA and Consulting PC Can Help At Boulanger CPA and Consulting PC, we’re here to simplify your tax season. Our services include: Comprehensive tax preparation for C Corps, S Corps, and LLCs. Strategic tax planning to reduce liabilities and enhance profitability. Accurate and timely filing to avoid penalties. Audit representation and ongoing financial advice. With our expertise, you can navigate tax season with confidence and peace of mind. Ready to Take the Stress Out of Tax Season? Don’t let business tax returns overwhelm you. Contact Boulanger CPA and Consulting PC today to schedule a consultation and discover how our expert CPA services can make a difference for your business.
Virtual CFO services help small business owners track KPIs and improve cash flow forecasting.

Unlock Small Business Growth with Virtual CFO Services | Boulanger CPA

By Marc Boulanger • December 24, 2024
Discover how Virtual CFO services from Boulanger CPA and Consulting PC provide small businesses with essential tools like KPI tracking, cash flow forecasting, and financial visibility for success.
More Posts
Share by: