Personal Tax Implications
- Review the business owner's personal tax situation and how it interrelates with the business taxes.
- Discuss strategies for income splitting, retirement planning, and personal investing.
Tax Planning
Keep More of Your Money
Your first call is a free 30-minute intro. Following a complimentary planning session, we present both the estimated tax savings and a fixed fee.
What is Tax Planning
Think of it as your roadmap, guiding you through a maze of tax laws and regulations to find every possible saving, while ensuring:
- Proper entity selection
- Maximized use of tax credits and deductions
- Strategic planning for taxable income reduction
- Tax advice for family business owners and their family
- Continuous monitoring of tax law changes to advise on proactive adjustments
- Guidance on investments and their tax implications
- Ensuring that tax planning aligns with long-term business goals and objectives
Want to see the specific strategies we use? Browse the eCommerce tax strategy playbook.
How Much Can I Save
It depends on your profit, your entity, and what your current return already captures, so we do not quote a number before we have looked. Following a complimentary planning session, we present both the estimated tax savings and a fixed fee. The estimate is an estimate, and the fee is fixed before you commit. Your first call is a free 30-minute intro.
A good tax strategy takes into account the broader financial picture, including cash flow, investment plans, business structure, and future business goals, not just tax savings.
What Time of the Year Is Best
When tax planning is relevant (your business is profitable and you will owe the internal revenue service or your state/s money) there’s not really a starting and stopping point. Truly maximizing savings requires that your tax advisor is a part of business strategy conversations on a regular cadence. Quarterly Tax Planning includes four planning sessions plus a year-end review, so nothing waits for filing season.
Items that need to be considered frequently:
Capital Expenditures and Asset Management
- Review recent or planned large purchases, investments in equipment, or technology and their tax impact.
- Understand depreciation schedules, eligibility for tax credits, and impact on cash flow.
Current Business Structure
- Assess if the current structure (sole proprietorship, corporation, LLC, etc.) still suits the business's evolving needs, and the right pay structure for owners.
- Discuss any considerations for changing the business entity and the associated tax risks/implications.
Regulatory Compliance and Changes
- Review any new IRS or state level tax laws, regulations, or compliance requirements that could affect the business.
- Plan for adjustments in business operations to stay compliant.
Strategic Business Planning and Growth
- Discuss long-term business goals and strategies.
- Align tax planning with the overall business growth and expansion plans.
Risk Management and Contingency Planning
- Assess potential risks and their tax implications.
- Develop strategies to mitigate financial risks and prepare for unforeseen circumstances.
Our Proven Tax Planning Strategy Process
STEP 01
PAST AND PRESENT
Our tax advisors begin by looking at the past 2 years of individual and business tax returns, if applicable, while reviewing your current year accounting/financial information.
IMPORTANT: To optimize savings for clients and to minimize tax issues with the IRS, it’s crucial to ensure that your financial records are meticulously reconciled and kept current. ECOM CPA can help if you don’t have confidence in your financials.
STEP 02
SHOW ME THE MONEY
You’ll spend an hour with a tax advisor looking for every possible opportunity to lower your tax liabilities, maximize your tax deductions, while identifying credits and how other entity structures may benefit your tax situation. By the end of the meeting it will be clear if there’s a clear path to relevant tax planning strategies.
The one-hour advisor review is separate from the initial 30-minute consultation. We will confirm the scope and next steps with you first.
Estimated tax savings identified
$37,374 per year
identified for one team member’s own return — 2023 and 2024
STEP 03
ONBOARDING
If our tax advisory services are a good fit and you decide to hire ECOM CPA, the next step is to gather all the required information (your cooperation is key) so that we can maximize the savings for the plan we will build.
STEP 04
TAX PLANNING KICKOFF
The next step is a “tax planning kickoff” where we show you all the potential tax deductions and credits, how other entity structures may benefit you, and the substance behind the savings. The final step here is for you to pick what tax strategies you’d like to utilize.
STEP 05
BUILDING THE TAX PLAN AND REALIZING THE SAVINGS
After the planning kickoff ECOM CPAs tax advisors will get to work on putting together a final plan and you’ll have a meeting to go over things with one of our senior tax advisors at the company. Much of the savings are the result of the tax filing itself. ECOM CPA is a certified public accounting firm and offers Tax Services for both Individual and Business filings.
Why ECOM CPA is Your Ideal Partner
Specialization in eCommerce: Our focus on eCommerce businesses means we understand your unique challenges and opportunities.
Consistent and Proactive Engagement: We believe in regular interactions to stay ahead of changes and maximize your benefits.
Comprehensive Service Portfolio: A single relationship for all your financial growth and compliance needs. Our tax services encompass tax planning and filing (both individual and business). We also offer CFO services and accounting.
How tax planning is priced
Tax planning is billed separately from the monthly accounting plans. There are two engagements. Annual Tax Planning: a written plan, a fixed fee, and we implement it. Quarterly Tax Planning: four planning sessions plus a year-end review.
The fee is fixed and you see it before you commit. Following a complimentary planning session, we present both the estimated tax savings and a fixed fee. Your first call is a free 30-minute intro.
You can buy a tax plan on its own and keep your current CPA for filing; we hand over the plan. If you want the returns here as well, they are a separate engagement. Individual and business returns (1040, 1065, 1120, 1120-S, 1120-F) include $1 Million Tax Audit Defense and a $2,500 Tax Preparation Guarantee. Conditions apply; this is not an insurance policy.
Over $100M in tax savings uncovered. Want to see what we’d find in yours?
Have more questions about how tax planning works?
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