Mid-Year Tax Checkup for Businesses

Mid-Year Tax CheckupWe are halfway through 2015 and it’s a good time to make some planning adjustments for tax purposes before year-end. Consider these:

1.       Per the U.S. Supreme Court ruling in June, every state must recognize same-sex marriages. Employers in states that did not previously recognize same-sex marriage should revise state income tax withholding for affected employees and review any other benefit changes per the ruling.

2.       Examine your financials for the first half of the year and ask: Do you/will you have enough cash to pay your estimated tax bill? Should you increase or decrease estimated taxes to avoid underpayment or overpayment?

3.       Do you offer a 401(k) or other qualified retirement plan? Remember to file your 5500 forms by July 31, 2015 for the 2014 calendar-year plan.  (SEPs and SIMPLE-IRAs are exempt)

4.       Meet with your tax advisor for current year and big picture planning. Your advisor can help determine ways to save on your tax bill, clarify any regulation requirements (e.g., tangible property regs, Affordable Care Act), and how to implement any changes before year end. Starting or reviewing your big picture plans now will provide you time for needed budget or business plan adjustments.