What is Tax advice?
Tax advice is the professional guidance provided to individuals and businesses on how best to pay taxes. Tax advisors help with navigating complex tax regulations and laws, preparing and filing tax returns, finding the right deductions and credits to claim, minimizing taxable income and more. They may work for an agency or be self-employed.
For example, a tax adviser might recommend that an investor sell money-losing investments before year’s end to offset the loss with profits from more successful investments. They might also suggest the timing of charitable giving or the amount of contributions to retirement and education accounts. Good tax planning can improve investment returns by reducing taxes.
Getting tax advice is important, especially when you’re self-employed or have complex investments. A tax advisor can reduce your tax bill by ensuring that you’re claiming the right deductions and credits, that you’re receiving accurate withholding from your employer, and that you have all of your necessary forms in order. In addition, a tax advisor can help you avoid costly compliance issues by ensuring that you file the right forms and stay up-to-date with changing regulations.
A tax advisor can be a valuable partner if you’re going through major life changes, like marriage, divorce, childbirth, buying or selling a business, or retiring. These events can have significant impacts on your taxable status and the types of deductions you might be eligible for, as well as the forms you need to file. Steuerberatung