How much tax do you owe next April 15?  What is your income tax for the year?  How much have you already paid in?  If you don't know how much,  it is better to plan for it now rather than wait until almost April 15.  Why have big surprises?  I can serve new clients better by starting them before the year is over so that I can review their prior tax returns, help them determine their potential tax liability that might be due, setup their last tax return and give them a better checklist of what is needed for the next returns.  Clients will get more attention and service by not waiting until filing season is in full swing, but asking good tax questions before year end so that your best option can be well thought out.

Planning for year end is progressing well.  We send out the personalized checklist of what to send to me for income taxes around the end of the year.  The tax software for 2009 is already loaded and most federal forms are ready to go.  If you need to plan how much your tax is for extra income, want to reduce your income tax withholding, or have completed property sales or other changes that affect your taxes, I can get those in the software right now and I always love to find ways to reduce the heavy workload from mid-February to April.  We can use some estimates now and then finalize them later so that you have a very good idea of how the tax will come out.

If you have provided me an e-mail address, this personalized tax checklist of what to send me can come to you by e-mail upon request.  This will allow you to print just the pages that you use or you can even e-mail me the data.  This enables better and a more immediate response to your needs.  Just let me know and send me your e-mail address (if I don't have it already).  I will print these checklists of what to send me and mail them to most of my clients before January 1st (at least that is the plan).  But if you are doing something new and want a form specifically for that it is quite easy to e-mail you a form to cover that new need.

You may have seen news about rolling back the Bush tax cuts.  What you need to know about this topic is that tax rates will go back up in 2011 and this will mean some tax increases in that year unless Congress acts futher.  Note that a roll back sounds much better than we are increasing your tax rates.  Most taxpayers will experience 5-10% increases in income taxes if their income is the same as in 2009 or 2010.  It is likely that there will be a payroll tax table adjustment in January 2011 also and so employees may have more withheld from their wages starting that month.

I want my clients to stay in touch, so I am always ready to hear from you.  Remember, don't get down on your numbers, move them onward and upward with Sheldon@TheResponsiveCPA.com!