Dear Valued Clients and Visitors: As our nation responds to COVID-19, our firm is taking precautionary measures by closely following and reinforcing the guidelines from the CDC and local health authorities. Our physical office is open on a intermittent basis. However, please be assured that we are open for business and ready to serve your needs.

If you have a tax problem or inquiry please call and if we are not in leave a message. A return phone call will be made within a short period of time. Now is the time to address your tax matter. We remain committed to our clients and colleagues through these unusual times. Please stay safe and healthy.

Law Offices of Robert T. Leonard, APC
Free Consultations Available
Toll Free 888-408-9486

Three end-of-year tax savings tips you can implement now

While the 2017 election season pales in comparison to last year’s cycle, it is no less important for those who are in office on Capitol Hill and in state legislatures around the country. Senate Republicans may be feeling the pressure of producing at least one major piece of legislation before the year is out, and after the failure of health care reform, tax reform is a worthy goal.

According to several media sources, Senate Republicans will introduce their tax plan this week. It is rumored to be an ambitious agenda aimed at lowering corporate income taxes and easing the financial pain on middle class families.

Indeed, it is anyone’s guess whether tax reform will become reality in 2017, but it is always good to be prepared. With that said, doing some tax planning before the year ends is prudent. This post will highlight some basic tax planning moves that could help you in 2018. 

Three ways to reduce your tax burden

Defer income – If you are expecting a bonus, it may be to your benefit to defer it to 2018. The same could be said with end of year invoices that are yet to be paid if you are a business owner.  Holding off on these last payments may keep you out of a higher tax bracket.

Contribute to your 401(k) – If deferring income isn’t an option for you, putting the extra income into a 401(k) plan is a good way to avoid crossing into a higher tax bracket. It is difficult to reach the $17,500 limit to put into a 401(k), so feel free to add extra cash if you can.

Make an extra mortgage payment – If you make your January 2018 payment by December 31, you can deduct the mortgage interest for your 2017 taxes. So it would be like getting credit for 13 mortgage payments for 2017.

Consult an experienced tax attorney

Even if you are not able to make these changes, or they don’t apply to you, an experienced tax attorney can give practical advice in other areas so that you can make informed decisions. Perhaps you owe additional taxes that you cannot afford to pay at the moment, or you are being pushed into a payment plan that may not be in your best interests. A skilled lawyer can guide you through the process and help negotiate a deal that works for you.

The preceding statements are not legal advice. For specific questions regarding your situation, an experienced attorney can help. 

No Comments

Leave a comment
Comment Information

Send Us A Quick Message

Bold labels are required.

Contact Information

The use of the Internet or this form for communication with the firm or any individual member of the firm does not establish an attorney-client relationship. Confidential or time-sensitive information should not be sent through this form.


Privacy Policy

Law Offices of Robert T. Leonard, APC

Woodland Hills Office
21700 Oxnard Street
Suite 2060
Woodland Hills, CA 91367

Toll Free: 888-408-9486
Phone: 818-224-7935
Fax: 818-587-3833
Woodland Hills Tax Law Office

Los Angeles Office
10100 Santa Monica Blvd.
Suite 300
Los Angeles, CA 90067

Toll Free: 888-408-9486
Phone: 818-224-7935
Fax: 818-587-3833
Map & Directions

Call Today