Business Tax Returns and Planning
Smart tax management and planning is more than just saving on taxes or keeping the IRS from auditing you. It is vitally connected to the way you prepare your accounting records and the way you plan to buy your assets. No one wants to be audited, but there is much more you can do if you take a proactive approach to tax planning—with the right CPA partner.
As your partner, we take an active role in your tax position now and in the future. With expertise in all types of business returns, including corporate, non profit, and partnership, we focus on optimizing your position and exposure, regardless of the structure of your business. We also have expertise in working with individual and trust tax issues. We make it our goal to stay informed on the latest laws and regulations so we can not only help you stay in compliance, but also make you aware of opportunities to reduce your tax burden.
With Fricke & Associates, business tax planning includes working with your internal team to get a thorough understanding of your situation, including a review of three years of prior returns (and for business clients, looking at the financial statements from which the tax returns were produced). We can compile financial statements for you should you need this service. Many of our clients need this due to their bank loans and because they do not have in-house controllers. We interview you to discuss your tax situation, where we bring up questions and concerns. Armed with this knowledge, we create and put a plan in place whose goal is to have you pay the least tax possible.
For business clients, we have decades of experience in developing solid financial information, applying all relevant tax laws, and planning for the future so you can stay ahead. The goal is no surprises!
Since our inception, Fricke & Associates has handled partnership returns. Partnerships should be reviewed carefully for distributions, profit allocations and negative capital account rules according to their operating agreement rules. Any tax return should not be completed until the partnership agreement has been thoroughly studied.
If your company is organized as an LLC, it can be taxed as a partnership or a corporation. Many businesses operate as a single-member LLC, which is filed as a Schedule C on an individual 1040 return. We will ask you the important questions to best understand the appropriate structure for your company and the individuals who own it.
State & Local Tax Planning
When it comes to tax planning, the federal government is not your only consideration. With pressure to bring in more revenue, state and local taxing authorities have become more aggressive when it comes to tax compliance and collection. Often, in fact,their laws and codes can be even more confusing and complex than at the federal level, especially when you take into consideration the issues around crossing state, county, and municipal lines. With all of these variables, it’s easy to miss obligations as well as opportunities.
Fricke & Associates’s clients are located in many states, and navigating various state issues is a normal process for the firm. Many of our clients do business in many states other than Georgia.The tax experts at Fricke & Associates will help you sort through the state and local tax maze, identifying your obligations and opportunities. We’ll work closely with you to develop a plan that will reduce your exposure and burden while helping you take advantage of proactive opportunities.
When you engage with Fricke & Associates, we’ll begin with a complete examination of your business, including asking detailed questions about what, where, and how you are doing business in any state, including where your offices and people are located. We will also discuss your business structure and possible plans for expansion or changes in business operations. This process typically requires at least two to three meetings.
During these meetings, we will look for any exceptions in the law regarding taxability in the various states in which you operate and discuss ways you can structure your business to reduce, avoid, or eliminate tax in those states. The ultimate goal, however, is to ensure you are in compliance and are incurring the least tax burden possible.
Estate and Fiduciary Tax Returns and Planning
To make sure everything you’ve worked hard for is passed along to the beneficiaries you care about, estate planning is essential. Estate planning protects you, your family, business partners, and organizations you would like to leave your assets to. The estate planning experts at Fricke & Associates can help put your mind at ease.
Many people think taxes are the primary component in estate planning, but that is only one part of a larger plan. An estate plan also takes into consideration:
- How your business will be valued
- How you will be succeeded
- How the business will be disposed of
- How your spouse will meet future financial needs
- How you will provide for a financially spend-thrift child
- How your assets will be controlled, and whether your wishes will be honored
An estate plan created by you and your advisors at Fricke & Associates will anticipate problems before they happen and allow you to control how your assets are handled after you’re gone. Working with your attorney and other professional advisors, we act as the “project manager” to ensure maximum benefits at the lowest overall cost.
Estate Tax Returns
The best time to work on the estate tax return is while you are alive. Plan your estate so that your assets are distributed where you want them and you have taken care of your beneficiaries in the best way possible.
Following a death there can be family issues, the practical matters of handling estates, which need to be discussed. We can help. Many times, executors need help with how to organize the estate matters and what to do to begin handling the estate. We have years of experience offering this assistance in practical, clear, non-technical language.
When we begin to work on a return with the family, we will meet with the executor to discuss the estate and assist them in the probate process. We will review the will with them and discuss the estate administration, beginning with a discussion of the assets and assisting with getting their valuation. We will also discuss any potential tax elections and post mortem tax planning.
Currently, planning for the portability of the exemption of the deceased spouse’s unused exemption is a very important estate planning tool. Without knowing to do this, millions of dollars of exemptions can be wasted, causing huge tax increases. Filing estate tax returns for estates that currently do not have taxes might seem counter intuitive, but it can be a significant tax saver.
Fiduciary Tax Returns and Planning
A fiduciary return is any return for a trust or an estate. These are not business returns, but those which typically have beneficiaries and someone who is in charge of taking care of the assets and payments (the fiduciary) to those receiving income or principal from the trust or estate (the beneficiary). For more than 40 years, we have worked extensively in this complex area, and our experience and expertise helps us time expenses so beneficiaries do not risk losing deductions.