Year-end can be a hectic time for businesses, but carving out a little time for tax planning could pay off. Here’s some food for thought.
Delay billing. A business using the cash method of accounting can defer year-end billing so the corresponding revenue won’t be received — and taxed — until 2014.
Fixed assets. Consider buying machinery and equipment before year-end to benefit from the tax law’s bonus depreciation and Section 179 expensing elections.
Office supplies. Stock up on frequently used items before year-end.
Profit sharing or SEP (Simplified Employee Pension) plan. Determine whether a company contribution will be made for 2013.
Vehicles. Consider having repairs and routine maintenance done before year-end.
Original content provided by: Client Line Newsletter