12/23/2025
As the year-end approaches, here are a few tax tips you can still implement to reduce your tax bill
Prepaid expenses:
If your business uses cash basis, you’re able to prepay up to 12 months of certain expenses like rent, insurance premiums, maintenance contracts, business licenses and permits, professional fees and subscriptions.
Credit card purchases:
Essentially all credit card purchases made prior to year end can be expensed even if the credit card bill is paid next year.
Fixed Assets:
Equipment, furniture and vehicles over 6K lbs can be fully depreciated in the current year as long as they’re also placed in service by 12.31. In this case, making the purchase alone does not allow for the asset to be depreciated in the year it’s purchased. Always consult with your accountant before making big ticketed purchases to ensure you can actually benefit from the transaction.
Retirement plan contributions:
Plans like SEP IRA and 401(k) allow for contributions to be deducted in the current year, as long as the contributions are made by the tax return deadline (including extension).
Please note that this is referring to expenses that are ordinary AND necessary for your business to operate.
Always keep record of all your business transactions that include dates, $ amounts, transaction details in case of an audit.
I’m currently accepting bookkeeping and tax clients, to work with me, contact me by email or cellphone- contact information is below:
☎️ 561•506•4477
📧[email protected]
🌐www.sigmaaccountingfs.com
Services offered:
✔️Personal & Small Business Tax Returns
✔️ Quarterly and Annual Payroll Tax Filing
✔️ Tax Planning
✔️ Payroll Tax Payments
✔️ 1099-NEC, MISC, INT Filing
✔️ General bookkeeping
✔️ Comprehensive and/or Comparative Financial Statements
✔️ Accounts Receivable and Payable Management
✔️ Books Set-Up (for new business)
✔️ Books Clean- Up - entering or classifying transactions and preparing financial statements for tax preparation.
✔️ Tax Season is Around The Corner, Get Your Books in order today! 💼
