Tax planning is a year-round endeavor, but many of your most productive strategies can take place at the year-end. So while you’re making plans for the holidays and preparing to ring in 2016, keep these helpful tips in mind and get ahead of the tax game!

1. Wrapping Up 2015
FINANCIAL FITNESS DECEMBER 2015
Reprinted by permission of the St. Louis Small Business Monthly
T
ax planning is a year-round endeavor,
but many of your most productive
strategies can take place at the year-
end. So while you’re making plans for the
holidays and preparing to ring in 2016, keep
these helpful tips in mind and get ahead of
the tax game!
• Update your accounting. Make sure you
understand where your business is financially
now and where it will be at the end of the
year. Take the necessary time to make sure
your books are up to date and accurate. This
might be a good time to reach out to your
accountant and schedule some time to review
your operations.
• Defer income. Deferring income will help you
with your upcoming taxes, so any payments
your business can receive during the first week
of January as opposed to December cut down
your tax bill. However, any deferral strategy
you implement will depend on your profit and
losses for the year as well as your business
legal structure.
• Plan timing of charitable donations. Just
as you would defer income to the next year,
be sure to push any early 2016 charitable
donations back to 2015. And make sure you
get a receipt for the tax deduction!
• Increase expenses. Any items your business
will require in the immediate future should be
purchased this year to maximize deductions.
Plan out what you’ll need for the first quarter
and see whether those goods or services can
be purchased now.
These year-end tax tips will vary depending
on each business owner’s situation and
accounting method, so if you have any
questions, be sure to contact your tax adviser!
n
Karen Stern (314-983-1204 or kstern@
bswllc.com) is partner in charge of BSW
Small Business Services, which provides
small business tax and accounting services.
BY KAREN STERN