tax planning

What Are the Benefits of Tax Planning for My Business?

Taxes affect every business’ costs and operations. Tax planning can help your business’ bottom line and can help you deal with the complexities related to the IRS. Our Los Angeles and Rancho Cucamonga tax attorney explains the benefits of tax planning for businesses.

What Is Tax Planning?

Tax planning helps businesses minimize their tax liabilities, and it ensures that all available allowances, deductions, and exemptions are working together in the most tax-effective way to reduce the total tax amount. Tax planning is important and beneficial to any business because it can help their business achieve their financial goals.

What Are the Benefits of Tax Planning?

Tax planning can help a business strategize to lower their amount of taxable income. It also helps them reduce their tax rate and gives them control of when taxes get paid. It can also help a business maximize tax relief and tax credits. An experienced tax attorney can help you ensure that your tax planning is done correctly and will benefit your business as best as possible.

Below are the different types of tax planning available for businesses:

  • Capital Gains Tax: Planning for capital gains tax will take various things into account, such as what is being sold and who it is being sold to. A tax professional can help you determine which assets are exempt and which should be included.
  • Corporate Tax: Corporate tax is often a large liability for companies. Tax planning will help businesses retain more profit and obtain more value from their business.
  • International Tax: If you’re doing business internationally, tax planning can be beneficial. It can help your business use deferral opportunities, foreign tax credits, and it can help you avoid double taxation.
  • Year-End Tax: If your business holds a significant profit, a tax planner can advise you on the most tax-effective way to pay yourself and your employees.

For tax planning services, contact our Los Angeles tax planning attorney today at (909) 766-9996 to schedule a virtual consultation!