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Christmas Taxes
It’s an inescapable fact for most of us that much of what we do comes with a tax bill of some kind.
I’m not an accountant, nor do I play one on TV, but I’ve compiled some ideas regarding the taxation of Christmas for you.
Not all of these tips may apply to you, but if they do, I hope you’ll find them helpful.
More Blessed To Give Than To Receive
The only difference between death and taxes is that death doesn’t get worse every time Congress meets. ~Will Rogers
As Mr. Smith says in the video below, be sure to check any strategies with your accounting or legal professional to get tips specific to your own situation.
How to Claim Tax Deductible Charitable Donations
Most charitable organizations are legitimate recipients of deductible donations.
There are many worthy recipients to choose from, such as the United Way, Salvation Army, Goodwill, Samaritan’s Purse.
You can also donate to your church, your community food bank or local non-profit organizations and facilities such as hospitals, schools, parks or community centers.
Be sure to follow your accountant’s instructions on how to note the particulars of any donation for proper filing.
Other very worthy recipients are organizations dedicated to finding the cure for diseases and for aiding those suffering from conditions such as diabetes, cancer, multiple sclerosis, heart disease and many others.
Unfortunately, you can’t write off your kids’ toys or that diamond necklace your wife has been eying up, but if you donate those items in new or like-new condition to an eligible charity, that’s another matter entirely.
The splendid thing is that when you give, you not only get the benefit of a tax deduction but you feel good, knowing that you’ve helped someone to continue their good work.
End Of Year Tax Tips
One of the things we love about Christmastime is that the break we typically take around the holidays is an opportunity to review the year that was and plan the year to come.
For businesses, this year-end review is even more crucial. As you’ll see in the following video series, there are a variety of strategies for optimizing your tax accounting in the coming year.
The 1st Tax Day of Christmas: Adjust your S-Corp Payroll
Sorry that Mr. Kohler didn’t put the 1st Day of Tax Christmas in the playlist below, but I found it for you so you could see all of his end-of-year tips for businesses.
12 Tax Days of Christmas
Note that these are quick tips to provide food for thought and topics for you to discuss with your business accountant.
I’ve recently started an LLC, so these are things that I need to consider as I build my business.
If you’re a business owner, be sure to take these 12 tips to your accountant to help them help your business to thrive.
Jelly Of The Month Club?
Santa Claus is anyone who loves another and seeks to make them happy; who gives himself by thought or word or deed in every gift that he bestows. ~Edwin Osgood Grover
Some people receive holiday bonuses from their employers and many do not.
For those who do, it could be a free turkey or some corporate swag.
For certain professionals, a substantial cash bonus may be part of annual compensation.
For Clark Griswold, this anticipated cash infusion was unexpectedly replaced with a membership in the Jelly of the Month Club. Fortunately, after some shenanigans and a visit from the SWAT Team, Clark’s boss realized his error and reinstated the annual cash bonus.
Are Bonuses Taxed Differently Than Regular Salary? (HOW ARE BONUSES TAXED)
As Ms. Demosthenes explains, a cash bonus is taxed exactly the same as the rest of your salary.
The great news is that even if you get a little extra for Christmas from your employer or even a lot extra, the tax man is not taking an extra bite.
However much of a bonus you might receive, it just adds to your annual bottom line of gross income.
🎁💰 That’s a pleasant surprise, isn’t it? 💰🎁
That’s Christmas Taxes in a Nutcracker, oh, I mean “in a nutshell“.
For further detail, please speak with your accountant or trusted tax preparer. They will be able to help you balance your holiday giving without causing the IRS to go all Grinchy on you.