Tax Considerations for the New Year

For business owners, the new year can bring new opportunities to grow your company. As you make plans for moving your business forward in 2022, it is important to keep tax considerations in mind. Careful business tax planning can lead to substantial savings. There may be ways that you can reduce your company’s tax obligation. Some businesses may be at risk of overpaying on their taxes due to a simple mistake. Taking the time to review a few things, like your company’s charitable giving and investments, may reveal opportunities to save money on your taxes. You may be surprised to learn that there is a way to save you have not taken advantage of in the past, or discover a new way to receive a tax break. 

What Steps Should Business Owners Take?

First, it is very important that you stay informed about any new tax laws that could affect your company. Tax code changes constantly, and keeping up with these changes can be no easy task. Even if you are reading the news and staying well-informed, it is easy to miss a small change that has a big impact. It may be wise to set aside some time at the beginning of 2022 to make sure that your knowledge is up to date. 

Establishing a tax plan for your business can prevent unnecessary expenses and other potentially time-consuming issues down the road. If you have business partners, it may be a good idea to ask for a meeting to go over tax concerns moving forward. Being prepared is key. This is a good time to seek out potential ways to save. 

What Should Business Owners Consider During Tax Planning?

There are certain areas of your company’s finances you may want to scrutinize a bit more closely when you do your 2022 tax planning. If you do any charitable giving, you are probably already aware that this can lead to tax breaks. There may be ways that you can structure or organize your charitable giving in order to maximize your tax savings. 

You may also want to review your company’s investments or other complex holdings to see if there are any opportunities to save that you are not yet aware of. Because tax law is constantly evolving and being updated, conducting an annual review at the start of each year can help protect your business from overpayment. 

Contact an Illinois Business Tax Attorney

Working with an experienced Naperville business lawyer can help you feel confident that you are maximizing your tax savings. Gierach Law Firm is committed to helping business owners establish tax plans that protect their companies from overpaying. Call us at 630-756-1160 if you would like to schedule a confidential consultation.

Source: 

Illinois Corporate Income Tax