Proactive Tax Planning
For those with high incomes, significant assets, and complicated tax returns, tax preparation, and tax planning can be a sizable expense. And even if it is already done for you, how do you know that you’re receiving value for money? After all, many of the deductions are mind-bogglingly complex and will only benefit a handful of people. It is hard to tell which ones were necessary and which were just thrown in there by the tax preparer. Here at Focus your Finance we try to strike a balance between cost-effectiveness, simplicity, and compliance with the law.
Strategic tax planning can be defined as a set of practices done in order to efficiently reduce taxes. These practices consist of more than just filling out your tax returns, which is often considered a core part of the process. But before you think about strategies, the first step into this field is becoming familiar with its main terms – and that’s what we will do right now!