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Tax help advices plus services? You can also split your refund among the direct deposit choices by completing Form 8888.18? You’ll need to let your tax preparer know what you want to do, so that can be indicated on your return. If you use the same preparer that you used last year, they are likely to have your previous information. If you use a new preparer, last year’s return can serve as a reminder to the preparer—and you—of some items you don’t want to overlook. Here are two examples: Interest and dividends. Last year’s return should indicate which banks, mutual funds, or other financial institutions sent you 1099 forms. Use that list to make sure you received 1099s from them again this year (unless you closed those accounts or sold the investments in the meantime).

When you earn a high income, you tend to pay a higher percentage of taxes than average earners. There are exceptions, of course, but in general, people who earn more pay more. And, if you’re a high earner, you might think you have no choice — that you must resign yourself to bearing a high tax burden. But is that really the case? The short answer is no. We spend a lot of time talking about tax planning with our clients, including those who have sizable incomes. In fact, one of the most common questions we hear is this: What’s the best way to reduce taxable income?

The QBI deduction has some other restrictions and limitations, so check with your tax preparer about your eligibility. Setting up and funding a retirement plan for yourself and/or your employees can save you money on taxes. Make sure it’s a qualified plan so you can take advantage of those tax savings. It must be one that’s recognized by the IRS to allow deferment of taxes on earnings until the earnings are withdrawn. They include IRAs and defined contribution plans such as a 401(k) or 403(b). Many options are available depending on your business, your goals, and your needs. Consider talking with a financial professional to figure out which is best for you. Find extra info on https://greentree.tax/llc-tax-preparation/.

It’s much easier to sort through everything now than when 2019 is a distant memory. In fact, reviewing and organizing your records monthly helps spread the workload throughout the year instead of cramming it all into a year-end rush. Take time to go through any forms you’ve already filed (like Form 941) to check for accuracy. Make sure to confirm EIN numbers, social security numbers, and anything else the IRS might use to identify you or your employees. And when you’re done, move all your forms, invoices, and receipts into the same place — whether it’s online or a in physical folder — so you’ll be ready for tax time.