Do you operate your business as a partnership, a limited liability company (LLC) taxed as a partnership, or an S corporation? These structures are known as pass-through entities because income, deductions, and tax credits pass through to owners and are reported on their individual federal tax returns.
Married Filing Separately: When It May Make Sense
Filing joint tax returns generally results in the lowest tax bill for married couples. However, in some circumstances, they may pay less taxes if they file separately, such as when one spouse has large medical expenses.
Discovering a Mistake After Your Tax Return Is Filed
Did you file your tax return and then realize you’d made a mistake? Perhaps you completed your return yourself and made an error in math or neglected to include a schedule that should’ve been attached. Or maybe you recently remembered some large, potentially deductible charitable donations you’d made early in the year that you’d forgotten to tell your tax professional about. Now, you may be wondering if you need to file an amended return.
Tax Planning vs. Tax Preparation: What is the Difference?
Many people assume tax planning is the same as tax preparation, but the two are quite different. Let’s take a closer look: