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Year-End Tax Tips for Businesses: Part II
Make these moves now and cut your business's tax bill for 2008.
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Michael T. Hanley, CPA Posted: 12:19 PM On July 6, 2009
In a down economy such as this, another key piece of advice to keep in mind when deciding whether to defer income and accelerate deductions is to take a look at where you will be in 2009.

If 2008 was not a good year for you and you are expecting lower than average income, but you expect 2009 to pick back up, you may want to consider avoiding those last-minute end-of-year tax savings strategies.

Why defer income into a year when you will be in a higher tax bracket? I would rather pay 15% tax on that income this year than 25% tax on that income next year!

Michael T. Hanley, CPA is the Managing Partner of the Smithtown, NY CPA Firm, Merl & Hanley, LLP and the author of Effective Tax Planning for the MicroBusiness (available at bookstores nationwide or online at www.30minutebooks.com).
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