“Tax Codes that Save you Tons of Money!”

Here’s the situation.  You have recognized that having a working knowledge of the tax codes can save you thousands of dollars in taxes.  However, now you want specifics.  What do you need to take advantage of these tax codes?  What are examples of tax codes that you utilize right now?  Read on to find out.

There are two powerful strategies you can take advantage of immediately:

1.) Documentation: Keep a tax diary that makes your records audit proof.  Keep accurate and detailed records to realize the full potential of tax savings.

2.) Find deductions that you have missed because you were unaware they existed or did not take them properly.

Examples of Specific Tax Codes that can help you slash your taxes:

Code Section 280 – You can deduct your home office.

Code Section 274 – Office equipment, supplies, supper money.

Code Section 132 – Corporate gym.  Your corporation can deduct the entire cost of gym equipment that you buy.  There is no limit.

Code Section 162 – Seminars.  Write off the entire cost of a seminar.  You can write off air fare, meals, etc.

Code Section 74 – Achievement awards.  Your company can give away up to two achievement awards each year worth $1600 a piece.  Give yourself an achievement award!

Code Section 119 – Meals and lodging.  All the meals and lodging for seminars, etc. can be written off 100%.

Tip:  Put your kids on the payroll.  You can pay each kid up to $6,500 each year.  This decreases your taxable income.

Tip:  You can deduct up to $5,250 for dependent care.  (I.e. kids and elderly adults)

Code Section 132E – Let’s you set up your own fringe benefit program.

Tip:  You can also take an equipment deduction.  For example, if you buy a piece of equipment that weighs 6,200 pounds or more then you can deduct up to $25,000 in the year you bought it.

Tip:  Remember the tax codes change all the time.  So you need to be aware of the changes.

Tip:  There are legal ways to shift income from a high tax state to a low or no tax state. 

Tip:  You can build your retirement plan tax free with business and investments that you have control over.