Stupid Tax

#11 - 10 Tax Hacks for Business Owners

Nov 13, 2023

Discover 10 tax hacks for business owners to lower taxable income, including QBI optimization, donor-advised funds, and strategic financial planning. Learn about renting homes tax-free, high-income tax strategies, and maximizing deductions with pass-through entities.

58:13

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Quick takeaways

Optimizing Qualified Business Income (QBI) deduction can yield significant tax savings for high earners through strategic wage balancing.

Donating appreciated stock to donor advised funds provides tax-efficient charitable giving by avoiding capital gains tax and receiving deductions for current market value.

Bonus depreciation offers immediate tax deductions on asset costs, benefiting businesses by lowering tax liabilities and enhancing cash flow.

Deep dives

QBI Optimization

Qualified Business Income (QBI) deduction allows for a 20% deduction on business income, benefiting high earners with potential savings of tens of thousands. The deduction is optimized by balancing wages paid by the business to meet the wage test, ensuring maximum benefits. This strategy, often underutilized by accountants, presents significant savings potential for high-income individuals.

Introduction

2min

Exploring Tax Hacks and QBI Optimization for Business Owners

5min

Tax Savings Strategies for Business Owners Under QBI Regulations

3min

Optimizing Tax Benefits through Donor-Advised Funds

6min

Maximizing Tax Savings and Strategic Financial Planning for Business Owners

25min

Maximizing Tax Benefits for Business Owners

4min

Tax Hacks: Renting Homes for Profit

2min

Strategic Tax Planning for High-Income Individuals in High-Tax States

11min

Mitchell says that small business is the best tax deal in America, and in today's episode he expalins why! He outlines 10 ways business owners can take advantage of tax credtis, deductions, legal entities, and investment vehicles to lower their taxable income in the business and on their personal returns. Some of these hacks are simple, others are complex, so if you need advice on whether you qualify and how to implement them, reach out to Mitchell's accounting firm Baldridge Financial in the links below.

Mitchell's ongoing Twitter thread on tax savings and personal finance:

https://twitter.com/baldridgecpa/status/1333953486208241665

Get in touch with the show!

Email: show@stupidtaxpod.com

Mitchell Baldridge

Twitter: @baldridgecpa

https://baldridgecpa.ck.page

https://baldridgefinancial.com

Scott Hambrick

Twitter: @hambrickscott

IG: @ogscotthambrick

https://onlinegreatbooks.com