As tax and accounting leaders in our industry who believe in a proactive approach, the halfway point of 2024 is a good time to take stock of any changes in tax laws and procedures that could impact both your business and finances.
In this Perry & Associates CPAs blog, learn our tax tips for 2024 that could ultimately help you plan for this tax season.
Take Advantage of Tax Credits and Deductions
There are a variety of deductions and credits that businesses can utilize strategically, which is why it’s crucial to understand how your business is classified. Let’s discuss a few 2024 deductions and credits that could help your business save this year:
- Section 179 Deduction: This allows businesses to deduct the full purchase price of qualifying equipment and software paid for or financed during the tax year. The maximum section 179 expense deduction is $1,220,000. Discover how else this deduction has changed in 2024 from the IRS.
- Bonus Depreciation: Bonus depreciation is a tax incentive that accelerates by allowing businesses to write off a large percentage of cost for an eligible asset in the first year it was purchased. Learn more about depreciation here.
Leverage Retirement Plans
This year, both you and your employees can contribute slightly more to your retirement accounts. For employer-sponsored plans including 401(k), 403(b) and 457 retirement plans—as well as Thrift Savings Plans, the 2024 contribution limits will jump to $23,000. Not only can offering these plans have tax advantages, they help attract and retain employees.
Understand the Tax Implications of Your Business Structure
Every business structure (sole proprietorship, S-Corp, C-Corp, Partnership) has varying tax implications and tax filing requirements. Make sure you are filing under the correct structure, using the appropriate forms and receiving tax benefits as they apply accordingly.
Seek Out the Help of Experts
At Perry & Associates CPAs, we stay ever innovating and ever investing with the latest software, training, professional development and research to ensure that our team is aware of the latest tax rules and legislation to keep our clients ahead of the curve. We know that filing taxes and staying abreast of constantly changing laws and procedures is stressful, which is why we want to relieve the burden! Regardless of industry, we can show you how our passion beyond the numbers is an ideal solution for your business.
The year is already halfway over – make sure you are making the right tax decisions! Contact our experts and we’ll provide you with the guidance, tools, resources and information to ensure you are headed in the right direction.
