tax planning presentation
Steps to Success: Alternative Minimum Tax Planning
All of this activity likely will also have a dramatic impact on the Alternative Minimum Tax. What this means is basically two things:
First, if Congress does not once again adjust the AMT exemption amount for 2010 – effective for January 1, 2010 – those who are paying the AMT now will pay a much higher amount. In addition, another 24 million taxpayers potentially will be trapped by the AMT for the first time.
Second, for those who already are in the AMT trap, there is a significant one-time opportunity to achieve a permanent tax savings benefit due to the expected increase in the regular tax as proposed by the Obama administration.
The only good news is that being aware of these core issues now can present a number of tax planning opportunities—for everyone, but especially for those who are already paying the AMT.
Even though everyone’s situation is different, here are some key steps you need to take. And the sooner you get started, the more options you will have:
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Know which items could cause you to be caught in the AMT. The IRS form shows 27 unique items, any one of which or any combination of which can land you in the AMT.
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Understand the current legislative environment and stay on top of tax policy changes. If you don’t there simply is no effective way to do tax planning, especially for the Alternative Minimum Tax .
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Understand the relationship between the regular tax and the AMT, including differences in the tax rate structures and their overall impact. There are significant differences in the computation of your tax under the regular method and under the AMT. There are significant differences in the tax rate you will pay under these two alternative methods.
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Identify and implement strategies that are right for you, to find the optimal tax solution with a goal of reducing your AMT. State and local taxes, which are a common culprit among those paying the AMT, vary significantly from state to state. What you can do with these, in terms of planning, also can vary significantly.
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Continue to review your plan periodically– especially as your income, deductions, and personal and family situation change—to see how that impacts your assumptions. This is common sense – nothing in life remains static.
About the Author
George Bauernfeind is with AMT Individual – providing information on alternative Minimum Tax Planning. He writes articles to help the tax payers to pay less Alternative Minimum Tax. He recommend to use Alternative Minimum Tax Calculator to reduce Alternative Minimum Tax.
Is there a catch to the promotions offered if you attend a timeshare presentation?
We are planning to go to Orlando in December, and recently heard that Westgate Resorts was offering seven nights at their one-bedroom condos for $199 total (including tax). My husband thinks it’s too good to be true. All we have to do is attend a 90 minute presentation the day before we leave Orlando. I have already put down a $20 deposit and it is refundable within 14 days. I don’t think it’s a hoax, but know I am starting to second guess myself.
We did a timeshare presentation in Las Vegas to get two free dinners at a buffet, as well as two show tickets. The people were very pushy but that didn’t bother me because I just pushed right back and told them I wasn’t interested. Have you had any experience with the timeshare presentations? Is there any fine print that I need to be aware of?
From what I understand, the only thing you have to do is attend the timeshare presentation. I have met a couple who said they go all over and get all kinds of free and discounted hotels and meals just going to these presentations. It isn’t too good to be true. Go and enjoy yourself.
CIMA Presentation – Capital Gains Tax Part 4
Village Names Gazda as Administrator
Bryan Gazda, former administrator for Canastota, NY and director of planning and development in Manlius, NY, will take office as administrator for the Village of East Aurora beginning March 14. The Village Board unanimously supported Mayor Allan Kasprzak’s choice of Gazda at it’s meeting on Monday.