What Are The Types Of Tax Planning?

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What Are The Types Of Tax Planning?
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Tax planning is the act of working with an expert
tax planner to reduce your total tax service
liability.   1. Permissive Tasking Planning.  Tax
planning that is permissible refers to the use of
all available tax incentives and deductions in
order to reduce your taxes. You can reduce your
taxable earnings by taking Child Tax Credits or
using 401(k).
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2. Purposive Tax Planning.   Tax planning is the
process of strategically structuring financial
affairs to reduce your tax burden. As an example,
you can place your assets into a trust in order
to reduce estate taxes. 
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3. Short Term Tax Planning and Preparation.   Tax
planning for the short term is taking actions at
the end of the year to lower your tax liability.
A small business owner, for example, might buy
office equipment or computers at the end of the
fiscal year to benefit from business expense
deductions.
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4. Long-Term Tasks Planning.   This planning is
based on a taxpayers financial situation and
involves long-term strategies that reduce
future tax service liabilities. Investing in
tax-advantaged accounts, such as a Roth IRA, to
benefit from available deductions and benefits is
one example.
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Hence a representative like Tax Planning in VA
would be ideal for all your accounts, tax and
other financial needs. For further details
visit http//www.etservicesva.com/.
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Essential Tax Services 13168 Piedmont Vista
Drive Haymarket, Virginia, 20169 PH (703)
754-2601