First, you have to distingue 3 basics:
1. The objective of *Tax avoidance* is to reduce tax liability by applying the script of law.
2. *Tax planning* is done to reduce the liability of tax by applying the provision and moral of law.
3. *Tax evasion* is a deliberate attempt to evade or omit a tax, not a simple mistake. This crime can result in up to five years in prison and a fine of up to USD $ 250,000 for individuals or USD $ 500,000 for businesses, in addition to court costs.
Now, I am going to give you 3 strategies to reduce next season’s taxes, you can use these before the end of the year 2019.
This is the last year in which these 3 benefits granted by law can be used. And remember, there are only 2 months left to take the right actions to take advantage of it.
1. Buy new or used equipment. You can deduct up to 1 million.
2. Credit for Absentee Compensation.
3. Rolled over earnings into a Qualified Opportunity Fund, if the funds are maintained for more than 10 years they will be tax-exempt, and a 15% deduction is allowed.
If you want to know more about how to reduce your taxes, call us at (407)601-3157