EP040: Use Depreciation to Save Big on 2016 Taxes

Use Depreciation to Save Big on 2016 Taxes

The biggest changes in 2017 will be the tax deductions and write-offs

Use Depreciation to Save Big on 2016 Taxes: In this episode, Morey and Macarena share important end-of-the-year tax tips. Morey recommends buying as many business supplies as possible before the end of 2016, to get the maximum depreciation benefits. And, he suggests that even if you have a CPA doing your taxes, you need to make sure they keep your taxes up-to-date, including all of your foreign accounts. Because bad advice from an uneducated accountant, can cost you thousands in penalties.

Key Takeaways:

[1:04] Planning for the upcoming 2017 tax changes is important.

[1:53] Why you should finish up 2016 with a shopping spree.

[3:29] It’s all about reducing taxes for 2016 and in 2017.

[4:25] Changing your corporate structure is an option if taxes are reduced in 2017.

[5:05] Congress is a slow moving vehicle.

[6:07] A real life example of a doctor’s tax return.

[7:10] People are not filling out their Foreign Bank Account information tax documents.

[8:08] A client finally got caught up on back taxes and paid a 27.5% tax penalty.

[12:02] People think when they have a CPA prepare their returns, they no longer need to pay attention to their taxes.

[12:56] The biggest changes in 2017 will be the tax deductions and write-offs.

[14:06] Retirement plans can create additional deductions.