Regardless of how well your business is doing, the tax levied on your revenue probably feels like an extra expense, and it’s often treated this way. Properly managed, however, your tax responsibilities can be turned into an opportunity for growth and stability. Adjusting your attitude towards and treatment of your taxes and adopting a proactive tax strategy can actually increase cash flow for your business.
Instead of thinking about taxes at the end of the fiscal year, it’s in your company’s best interest to create a proactive tax strategy while there’s still plenty of time to implement it. Creating an aggressive tax plan early improves your cash flow, builds more resilience into your business model, and allows you to pay less tax at the end of the year.
It’s important to understand the taxes you need to pay before it comes time to pay them. The tax system in the USA regarding sales tax, for instance, permits each state to set its own rates for particular items. It is also regional, meaning that areas of a state have the autonomy to set their own rates, too. Self-employment tax, personal property tax, excise tax, franchise tax, and more comprise the taxes you may be subject to paying.
To make matters more difficult, tax laws change from year to year. Consulting with Insogna CPA throughout the year helps ensure that your strategic cash-flow forecast and tax strategy plan is on target for year-end. As you make investments, face new challenges, and set new goals, we will make sure that you aren’t missing out on possible deductions and other opportunities to deliver the most savings legally possible.