Tax Planning

Why pay more taxes than you are supposed to?

NjengaCPA provides tax planning so that our clients can legally reduce their tax liability. Throughout the year, our tax accountant attends tax seminars to keep abreast of the current tax law, complex tax code and new regulations. 

The mastery of tax code, laws and regulations helps us to recommend tax-saving strategies that our clients can use to reduce taxes and maximize their after-tax income.

For example, many of our clients ask us questions like these:

How can I get more organized during the tax season?

If you are a business owner and you don’t have the right information for your expenses, you end up paying more in taxes. Or you miss taking advantage of deductions and credits that can really help you reduce taxes. We advise our clients to use accounting software and/or to hire a tax professional or bookkeeper — and even better, to hire a CPA.

How I can reduce the tax bill and keep more money in my pocket?

• We advise tax clients on how to defer income and pay less taxes later. We accomplish this by assisting our clients to identify various type of retirement plans that are available for self-employed individuals and business owners. We also show them how to fund their retirement accounts each month. 
• We discuss with our clients the exemptions for penalties for early withdrawals from IRAs.
• We calculate the allowable IRA contribution for the tax year and advise clients on strategy for Roth conversions.
• We advise tax clients on strategic ways to sell their investments to avoid paying more taxes. For example, we explain to our clients that short-term gains are taxed as ordinary income whereas long-term gains are taxed as capital gains, and the tax consequence of each.
• We advise our clients on selling losing investments early through a strategy called loss harvesting to help them offset capital gains and put more money in their pockets.

And More…

Call us or email for a free consultation. Also, check out on more tax-saving strategies.