June 8, 2018
Dear Clients & Friends:
Schools are letting out and tourists are arriving, a sure sign that summer is upon us. If you find a break from the hustle and bustle of summer, please read the enclosed summer edition of our newsletter.
Are you engaged or recently married? Did you know there is a marriage penalty? Please check the first page of our newsletter for tips and steps you should take once you become married. Please call us to see how being married will affect your tax situation.
Are you looking to sell or purchase a business? Check Page 2 for commonly made mistakes during the business sale or purchase process. Some of these mistakes are overestimating the value of the business, failing to get independent appraisals, poor communication and not accounting for variables. Selling a business can be a step toward retirement or to pursue other activities while purchasing a business can be step toward starting the right career for you. Either way, it is important to make sure you cover all your bases and reach out to a professional for guidance along the way.
As always, be very mindful when answering the phone or checking your email when you don’t recognize the number or the email address. Have you been receiving a lot of phone calls from other states or telephone numbers you don’t recognize? Think twice before you answer and never give away your personal information or answer any questions. Additionally, the IRS generally does not reach out to taxpayers by telephone or email. If you get an unsolicited email from what appears to be an IRS agent, please report it by emailing it to email@example.com.
Considering how effective mid-year tax planning can be, summer time is a great time for tax planning. This summer, you can review your income and deductions, plan for any tax-saving home improvement projects, adjust your retirement plan contributions, evaluate your investments and update your estate plan among many other forms of tax planning. It is more important than ever this year with all the new tax law changes taking effect in 2018.
As the IRS issues guidance on the new tax laws, our staff is taking the time to attend seminars and become informed on the many tax changes going into effect. The Tax Cuts and Jobs Act brings tax changes for individuals, modifies a number of deductions and creates new tax planning opportunities while also introducing many pitfalls. As many of you are aware, it will take some time for the IRS to work out all the details and technicalities. We are attending seminars to learn how these changes will affect our individual and business clients.
Important dates to remember for this quarter are June 15, July 31 and September 17. June 15 is the due date for the second installment of 2018 individual estimated tax, July 31 is the due date for filing 2017 retirement or employee benefit plan returns and September 17 is the due date for extending Corporate and Partnership tax returns and the third installment of estimated individual tax for 2018.
We are working faithfully to complete the tax returns we have on extension. If you have not dropped off your 2017 information, please do so as soon as possible. During the busy tax season, we sometimes forget to tell our clients how much we appreciate their patronage. We enjoy interacting and assisting you with your individual and business tax and financial needs. We appreciate any comments you have on the services we provide and welcome any referrals. If you haven’t already, please check out our website. We have recently made changes and welcome your feedback.
Starkey & Company, CPA’s