How to reduce your USA federal income taxes by year-round tax planning

Reduce your US federal income taxes by year-round income tax planning during the tax year and by utilizing little-known but legal tax-saving strategies.

Difficulty: Moderate

Instructions

Things You'll Need:

• Read tips about tax-saving strategies.
• Change how you earn and spend your income and how you manage your investment and business assets during the year to take advantage of available tax-saving options.

1. Read and study about how you can profit from tax-saving strategies such as tax deductions for your home and vehicle use in your home-based business, shifting investment income to trusts for your children, and depreciation tax and grount rent deductions arising from your real estate investments.

2. Hire and follow the tax-saving advice of a Certified Tax Consultant, Certified Public Accountant, or another qualified tax advisor.

3. During the tax year, change how you earn, spend, and invest your income and assets to take full advantage of available tax-saving alternatives.

Tips & Warnings

• Keep very good receipts and records as to how you earn and spend your income and how you invest your funds so that your tax preparer can prepare a tax-saving tax return, and a tax return that can successfully go through an IRS audit.
• Only do lawful tax planning and not do anything that constitutes tax evasion.

Resources

• US Income Tax Planning
• Tax Planning News Worldwide