Tax planning-what are the benefits of tax planning?

Tax Planning is all about putting your hard earned money to YOUR good use instead of all going to the government. It doesn't mean not paying your taxes, it just means being smart about where your placing your money to acquire maximum benefits to you and your future livelihood.

If you're a business owner, even more attention needs to be paid to tax planning with the below points being included in your planning.

• Entity Structure Planning - Create the optimal entity structure for your business and you personally to maximize your tax benefits and legal asset protection benefits.

• Compensation and Benefit Planning - Develop strategies that meet your personal and business short and long goals and objectives. Its really about minimizing taxes and out of pocket expenses paid with after tax dollars. The goal is maximize your income and the amount available to the business by minimizing your taxes across the board.

• Maximize Advanced Retirement Planning and Income Deferral Opportunities - Business owners must annually capitalize on techniques to maximize monies and continued income streams available for life after the business.

• Utilize Succession, Exit Strategy, and Estate Planning Opportunities - Remember, when you exit your business, it will be a taxable event. Develop a plan to minimize taxes on the transfer to ensure you walk away with as much money as possible.

• Avoid or Eliminate Questionable or "Grey Area" Tax Planning Strategies to reduce Audit Risk - All your tax planning strategies should be supported by the black and white language of the IRS Tax Code and Regulations. For the informed business owner many opportunities exist.