Market Tax Services - Wichita

Tax planning puts you in the driver seat.

Often when people think about "doing taxes" they mean just filing their tax return. That is merely looking backward, reporting what has already happened, with few opportunities to change the outcome. Tax planning on the other hand is seeing what is going to happen this year and then making intentional actions to change that outcome.

For a business this is where bookkeeping and tax come together and create the opportunity to steer a new course. Instead of letting the government tell you want taxes you owe, now you are telling the government what your taxes will be.

Are you taking care of your financials and taxes all on your own? Are you working with a bookkeeper or a tax preparer, leaving you stuck in the middle trying to coordinate the two? Or are you working with an integrated team of accounting and tax professionals who work together to make sure your business is being tracked appropriately and is paying the right amount of taxes?

Leverage section 179 and bonus depreciation

Depreciation is all about getting to recognize the financial benefit of the purchases for your business. In a perfect world, you would always get to have that benefit when you spend the money on the purchase. Unfortunately, in taxes that is often now the case and you have to take that benefit (and the related reduction in your taxes) over a number of years.

Sometimes you can accelerate the depreciation though, and that's where section 179 and bonus depreciation come into play. In the right situation you can take all the benefit at once, instead of waiting for the years to go by. However like any tool, it can also harm you and cause wild swings in your taxes.

Are you trying to figure out if accelerated depreciation will benefit your business all on your own? Are you equipped with the ability to decide if accelerated depreciation can benefit your business during the course of the year, before you are filing your taxes? Or are you working with a tax professional who can help you make those kind of decisions, without you having to understand it all on your own?

Deduct home office expenses

Usually, to take an expense against your business income, you have to spend money out of your business. Wouldn't it be great if there were things you could deduct that you don't have to spend business funds on?

This is where the home office deduction comes in. You are already paying for where you live, whether that be with a mortgage or rent. You already pay utilities. You already pay for a number of things that you have to have in order to have a home. If you are running your home out of your business, you can take a portion of those expenses as a business deduction. That portion depends how much of your home is used exclusively for the business.

While these are rules you definitely can work through on your own, a tax professional has the education and experience to know how to apply these rules to your own unique situation.

Are you trying to go this on your own, hoping you are picking up the right deductions, at the right time, and have the right backup in case the IRS ever asks questions? Or are you working with a tax professional who can help navigate these complexities and make sure you're keeping as much of your hard earned income as possible?

Turn confusing statements into clear paths.

Financials statements are not easy to read. They often seem complicated and don't present a clear story. If you are managing this on your own, it becomes your responsibility to take these murky statements and use them to tell a clear story about your business. When working with a bookkeeping professional however, you have a trusted advisor who can help you see through the complications, understand the story in the numbers and help you translate that story into clear directions for the future.

Are you trying to tackle your financials on your own and getting lost? Or are you working with an accounting professional to translate the mess of statements into clear and actionable paths forward?

Consult professionals, optimize finances

When you are ill, with modern technology, it is easy to get a diagnosis based on your symptoms. Just find the right website, plug in what is wrong and get a quick list of possible problems. However most people know that this approach will often lead to a very wrong answer.

Taxes are the same way. There are websites or social media accounts that are quick to tell you these 5 simple tricks that your CPA isn't tell you and will save you big dollars on your taxes. Much like those medical information websites, the information might be correct but doesn't apply to your tax landscape.

This is where a tax professional steps in. A tax professional has the education and experience not just to understand the "5 simple tricks" but also to understand your big picture and provide guidance that fits with your life and situation.
Are you getting your tax advice from a generic website or social media account? Or are you working with an experience professional who is helping you find what works best for you?