The purpose of this guide is to develop basic recommendations on tax planning. Naturally, this manual reflects the main provisions of tax planning, suitable for most taxpayers. However, more complex aspects of tax planning, considering customers’ unique needs and requirements, are not included in the manual.
Our company is ready to help you on an individual basis in the form of practical advice on using tax benefits and reducing the amount of taxes paid on legal grounds.
Basic tips on tax savings:
- Contribute to pension and advanced training funds to the maximum extent permitted by law and use tax concessions related to savings funds and cash benefits (pensions). Contributing up to the maximum amount allowed by law, particularly to the fund for advanced training, is one of the simplest and most effective ways of saving significant amounts of money, suitable for most taxpayers.
- Ensure that all eligible expenses associated with business activities are taken into account. In fact, this is not about tax planning itself but about a more thorough check on how all the cost accounting features were used. In our experience, many taxpayers are not aware that many of the expenses they incur in their business are allowed to be recorded for tax purposes. For example, many taxpayers working at home do not know that it is possible to demand recognition of business expenses proportional to the expenses of the occupied premises in certain situations. Many taxpayers do not understand that gifts and bonuses provided to customers and suppliers are also considered expenses (given the maximum allowable amount).
- Check whether you use all the preferential tax units you are entitled to. For example: did you use benefits for small children’s parents, for holders of scientific degrees, etc.
- Compensate for losses. If you have losses from business activities and losses from the sale of securities, make sure that the annual report is prepared to take into account these losses to prevent excessive tax payments.
- Study the structure and features of your activity. Sometimes, the re-registration of private entrepreneurs in a limited liability company can reduce the current tax payments. Read about this in our guide “Self-employed or limited company.” From the tax planning Calgary, this is the best deal.
The process aimed at a balanced distribution of tax deductions to budgetary state structures is called tax planning. The considered type of planning is based on the analysis of the enterprise’s documentation and the assessment of the current economic situation, reflecting the position of the enterprise in the industry. On our site, you can find a lot of practical advice on tax planning.
The tasks of tax planning include the distribution and optimization of tax deductions so that the current manipulations positively impact the enterprise’s level of profit. Therefore, the company’s internal organizational policy concentrates its efforts on the possibility of reducing mandatory payments by applying for concessions, benefits or by searching for and applying measures aimed at preserving the current amount of tax deductions with a planned increase in income.