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Author Information:
This article is written by First Choice Limo & Taxi Dispatch Service -has created a superior standard, in the ground transportation industry. They work with a mission to provide comprehensive and exceptional sedan service in paradise Island of Bahamas that exceeds client's expectations!

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How to Make the Tax System Work For YOU!! Finance Articles | May 10, 2007

Tax Saving Strategies Available To You As A Business Owner


Reducing your taxes can save you thousands of dollars a year no matter how long you have had your business or whether you are incorporated or unincorporated. Fortunately for all of us, these strategies are based on two U.S. Supreme Court decisions. First, the Supreme Court ruled that it is your constitutional right to arrange your affairs as to minimize your taxes. Second Cheap MLB Jerseys , the Supreme Court said that there are two tax systems in this country: the uneducated tax system and the educated tax system.



Uneducated Tax System vs. Educated Tax System The line under your income on your pay stub is where these two systems differ.

? With the uneducated tax system, you deduct the three lines under your income and the remainder is what you receive.


? With the educated tax system, the first line is your reported income as with the uneducated tax system. However, the second line is the money you spent on the business, and you pay taxes on what is left. This is because when a business spends money it is called a business expense or tax deduction. Therefore Cheap Jerseys Wholesale , having your own business and being in the educated tax system, you can reduce your taxes by 40-70%.


To break this down even further: If you are making $35,000 a year this could save you up to $10,000. That means it does not matter if you are making millions of dollars or a few thousand dollars. These strategies apply to you! A marginally profitable business can become a thriving business by applying these strategies.


CPAs And Accountants Are Inherently Conservative And Are Not Taught To Apply These Tax Strategies

Surprised? Having been involved in this very enterprise for some time now, I have reached the conclusion that this is really not that uncommon. I have found that CPA's Cheap Jerseys Online , while well intentioned, are not trained or paid to search out every possible avenue with which you can save money. They (generally speaking) work extremely well within the W2 guidelines provided to them by the IRS. This is the same entity that wants to make as much income from you as possible!


In addition, CPAs and accountants are inherently conservative and are not taught to apply these tax strategies. Finally, they are not proactive. Think about it. They are so busy during tax season that they usually do not have the time to investigate these strategies and how they apply to you. It's almost as if they work for the IRS, not you!


Think about it Cheap Jerseys Free Shipping , have you ever come across a page on the IRS website that says here is a list of every single money-saving deduction that you can use with this particular company structure? NO!!!


This is why I have been personally involved with individuals who have been able to save well over $100,000. It is not slight-of-hand, it is not magic: it is simply utilizing what is already there in a proven fashion.


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