Tax Planning

The Tax Cuts and Jobs Act (TCJA) of 2017 brought many changes for individuals and businesses. Below are some tax planning tips for the 2018 year-end and for 2019. Enjoy!


Personal Income


Review timing of bonuses to minimize effect of higher maximum tax rates.

Profit Sharing Distribution

If planning distribution determine what year(s) is best to take.


Itemized Deductions


Defer large charitable contributions until 2013



Aggregate and pay bills in 2013, if possible




Business Income


Invoice clients early



Delay payment of expenses (cash basis) and purchase large ticket items in 2012


Retirement Accounts

IRA Conversion

Convert to Roth in 2012 vs 2013



Increase 2012 distribution




Capital Gains

Sell Investments

Sell investments with built-in gains (do not sell solely for tax purposes). Wash sales rules do not apply.

Sell home in 2012 vs 2013


Installment Method

Elect out of installment method to recognize full gain in 2012



Making Gifts

Consider making greater gifts in 2012 to avoid decreased exemption and increased tax rates.



Establish and make contributions in 2012