Wednesday, 23 December 2020 11:00 AM
Company Update
QUEENS, NY / ACCESSWIRE / December 23, 2020 / Boris Musheyev began his career in tax working as a tax preparer for a local CPA firm.
Throughout a 3 month season, he prepared upwards of 500 tax returns. As the returns passed through his hands, he was shocked to see how much these individuals were overpaying in taxes, but there was little to be done about it by that point.
According to Boris, "In order to save money on taxes, you must plan in advance, if you do so, you can take advantage of tax strategies and save thousands."
In 2017, Boris started his own Tax Planning Firm and not a traditional tax business. Today, Boris Musheyev is dedicated to saving entrepreneurs and business owners thousands of dollars on taxes every year through strategic tax planning.
Although the 2020 tax season is quickly approaching, there are still several strategies that business owners can utilize, in addition to systems they can set up for their 2021 taxes. According to Boris, there are 5 things that every business owner should consider when planning for their taxes.
- Focus on Entity Structure. If an individual owns multiple businesses, they should carefully consider how they structure each entity. Entities may fall into one of three categories. The first category are entities that may be subject to double taxation. Second are entities that may be a resource from which the business owner can draw a salary. The third category of entities, such as real estate, should be held by another structure for both tax protection and to minimize their tax liability.
- Consider How You Will Be Paid. Many business owners do not realize that they can set up a strategic owner's compensation package that will include their salary, health insurance, and retirement. When bundled, they can save thousands on taxes.
- Maximize Retirement Planning. While the majority of business owners most likely have some sort of retirement plan set up in their business, they may not be utilizing it properly or maximizing it's potential. Business owners may incorrectly assume that they have to match their contribution to their employee's retirement accounts with the amount they put into their personal retirement accounts. This is incorrect. Business owners can maximize their deferral while also taking advantage of employer match from their business. Doing so will potentially allow them to contribute at least $19,500 and up to $57,000 per year.
- Hire Your Children. Business owners may already have their children helping out in their business. If this is the case, they can legally pay their children a salary. By doing so, they are shifting money from their high earning tax bracket to a lower tax bracket. Furthermore, if the child makes less than $12,500 in the year, they are not required to pay any income tax on their earnings.
- College Tuition Business Deduction. Additionally, business owners can pay their children's college tuition from the business as a fringe benefit while deducting it as a business expense on their income taxes. This money is not counted as income and thus the child is not taxed on these funds.
According to Boris, the tax code is full of these strategies amongst hundreds of others that can be used by business owners to save thousands on taxes. The tax code was written deliberately to incentivize business owners to contribute to the economy. In the same way that the government will punish those that abuse the system, they will reward those who understand the system, work hard, and stimulate the economy.
To learn more about Boris's tax planning strategies or to schedule a free tax strategy session, visit https://borismtax.com/.
CONTACT:
Contact Name: Boris Musheyev
Business Name: BORISMTAX, INC
Address: 73-26 YELLOWSTONE BLVD, STE 4, Queens, NY 11375
Phone Number: 212-430-6881
Website Link: https://borismtax.com/
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SOURCE: Boris Musheyev