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Mistakes That Increase Tax Amount by andrew hiles





Article Author Biography
Mistakes That Increase Tax Amount by
Article Posted: 11/15/2013
Article Views: 886
Articles Written: 113
Word Count: 436
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Mistakes That Increase Tax Amount


 
Tax
Are you happy with the amount that you pay as tax for your real estate business? Have you taken benefits of all available tax advantages? We know you can not say ‘yes’ confidently to answer these questions. In order to help you in this matter so that you can confidently say yes when this question is asked next time, we have decided to let you know about some major tax mistakes that realtors do. Besides, you will get some great tax advice too. Plan: The biggest mistake that happens is a wrong plan. It has been observed that many realtors hire less experienced tax professionals for their tax preparation that make a wrong plan due to which you have to pay more for your taxes. Since you don’t have any knowledge about what he is doing, you approve everything. Therefore, it would be good for you to take tax coaching. The coaching will let you know how you can make an excellent tax plan. This coaching will help you discuss each and everything that you tax preparer do and enable you to create a plan that can help you take benefits of each tax break available. AUDIT: The second big mistake that several realtors do is they fear from IRS instead of having a respect for it. The IRS targets small businesses that have opportunities to hide income. In realty, if you have made a good plan, chances are very low that audit will cause any trouble for you. Self Employment Tax: Many businessmen pay as much money in self-employment tax as they pay in income tax. If this is the case with you, then you can consider setting up limited liability Company to avoid this tax. Retirement Plan: Many realtors don’t take retirement plans that compel them to pay more as taxes. If you don’t want to be like them, take a retirement plan since it decreases the amount that you pay in the form of taxes. Family Employment: Many real estate agents do not like to involve member of their families in their business, so they don’t hire anyone from their families. But, this enables you to pay less for the taxes. Therefore, if you want to pay less for taxes, hire someone from your family. By taking care of these above mentioned mistakes that several realtors do and keeping the ideas related to tax advice in account, you can avoid them and save good money in your pocket.

To know more info about UK Tax Advice and accounting services at taxpartnersuk.com and to view original article source click here.

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