Solid Tax Services

What is your responsibility as a taxpayer?  Is it your "Patriotic Duty" to pay a lot of taxes?  Or are you only responsible for paying the amount of taxes due under the IRS code?  We believe that it is the latter.  One of the judges in the Federal Tax Court put it this way:

"Anyone may so arrange his affairs that his taxes shall be as low as possible: he is not bound to choose the patterns which will best pay the Treasury; there is not even a patriotic duty to increase one's taxes."  Judge Learned Hand, 1934 Tax Court Decision

Can you manage your business to achieve optimal tax results?  Certainly!  But does it make sense to let the "tax tail wag the business dog?"  Almost never!  Tax consequences might cause you to change the timing of a good business investment, in order to achieve maximum tax deductions, or to shift a deduction between tax years.  But a bad business decision is just that -- a bad business decision -- regardless of whether or not it reduces your tax liability.  If the investment doesn't enhance the value and profitability of your business, the tax consequences are irrelevant.

Yet, with the complexity of the IRS Code and Regulations -- some 17,000 pages and growing -- it gets more difficult each year to "just pay the correct amount."  That's where your accountant comes into the picture.  Your accounting firm is responsible for the following:

• Staying on top of the ever-changing tax code to make sure you take maximun advantage of all the ways you have available to minimize your tax burden.
• Helping you with regular tax planning to structure your finances in the most tax-efficient way.
• Monitoring your financial results in order to update tax projections and payments and make sure you pay the correct amount -- no more, no less!

Your accounting firm is an investment in the profitability of your business.