Top Tax Preparation Tactics for Small Businesses

If you are a small business owner you have to make sure that, you stay on top of your finances. We understand that you have to play many roles within your business, which is why we are sharing the top tax planning strategies for small businesses today.

Know How to Balance Profits and Deductible Expenses throughout the Year

If you are a small business you will find that your net income from your business goes on a 1040 and is taxed at your individual tax rates. The 2015 brackets are similar to 2014, which helps to guide you on how you should be deferring profits into the upcoming tax year while simultaneously accelerating deductible expenses for the current year. However, keep in mind this is for businesses who expect to remain in the same bracket or a lower one. By utilizing this strategy, you will be able to defer a portion of your tax bill to the next tax year.

Invest in a Heavy Vehicle for Your Business

Since heavy SUVs, pickups and vans are used to get stuff around for your trade, you are rewarded with federal income tax benefits. By making an investment in one of these vehicles for your business, you are able to instantly deduct up to $25,000 of the price that you paid for the vehicle as long as you utilize it for business purposes before the end of the tax year.

Bottom Line

If you were a small business owner, it would be a good idea for you to consider utilizing one of these strategies before the end of the tax year.

Thank you for reading our Redmond CPA blog post! If you are a small business owner, interested in hiring a business coach in the upcoming year, read our Seattle CPA Small Business Coaching page and call us at (425) 483-6600! Happy New Year!

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  • Huddleston Tax Accountants / Huddleston Tax CPAs – Redmond, WA
    Certified Public Accountants Focused on Small Business
    8201 164th Ave NE Suite 200 / Redmond WA 98052

    Huddleston Tax CPAs & accountants provide tax preparation, tax planning, business coaching,
    QuickBooks consulting, bookkeeping, payroll, offer in compromise debt relief, and business valuation services for small business.

    We serve Tukwila, Auburn, Federal Way. We have a few meeting locations. If you are looking for a Redmond CPA firm, get in touch with us! Call to meet John C. Huddleston, J.D., LL.M., CPA, Lance Hulbert, CPA, Grace Lee-Choi, CPA, Jennifer Zhou, CPA, or Jessica Chisholm, CPA. Member WSCPA.