Make Sure You Maximize Your Deductions This Year!

The tax filing deadline for S Corps and Partnerships was Friday, March 15th. If you did not file your extension or tax return, the penalty is $235 per shareholder/partner per month. So please file as soon as possible.

H.R. 7024 Tax Relief for American Families and Workers Act of 2024

We filed several extensions for our clients due to pending legislation. H.R. 7024 Tax Relief for American Families and Workers Act of 2024 has been passed by the House, but has to be passed by the Senate next before it's signed into law (if it makes it). You just never know how things will change by the time it reaches the President's desk.

Title II - American Innovation and Growth

One of the main reasons we chose to file extensions is because of Title II - American Innovation and Growth.

Part of this title extends the allowance for depreciation, amortization, or depletion in determining the limitation of the business interest deduction. It also extends 100% bonus depreciation, and increases the limitations on expensing of depreciable business assets.

This is HUGE! The bonus depreciation rate was 80% for 2023, and it dropped to 60% for 2024 as part of the phase out. Instead of having to go back and do a bunch of amendments, we extended them so we can get the maximum deduction the first time.

This is why it is important to work with someone who understands tax law. It's all a part of the strategy to help our clients pay the least amount in taxes.

Next up is the April 15th deadline in less than 30 days. When many tax professionals are winding down, I'm ramping up. This is the time to hire a tax strategist and start tax planning for maximum savings in 2024.

Karitsa Kerns is an Enrolled Agent and Tax Strategist who specializes in reducing tax liabilities through proactive tax planning tailored for each unique individual. As an Enrolled Agent licensed through the Internal Revenue Service, Karitsa can represent taxpayers in all 50 states. As the owner of KNK Tax and Accounting Services, she provides services ranging from Tax Advisory, Fractional CFO, Tax Planning, Tax Preparation, and Tax Resolution.

?If you are a H.E.N.R.Y (High Earner, Not Rich Yet), working with an expert who specializes in Tax Strategy makes all the difference in your bank account. At KNK Tax and Accounting Services we provide quality services, and educate our clients to contribute to the success of their business. Please visit us at knktaxaccounting.com for more information or to schedule a consultation.