SURPRISES ARE FOR BIRTHDAYS NOT FOR TAX TIME ™ Now’s the time to do proactive strategic planning to save and defer taxes. After Dec 31st it’s too late. Start by having a tax projection done - even using ballpark numbers - get an idea of the bigger picture as soon as you can, to facilitate the key moves you ought to be making before year end. For example capital gains earned would suggest that you seek to realize capital losses to offset the gains; if you are in the alternative minimum tax mode then you might be looking to invest in taxable bonds rather than in tax-free muni’s - and you may also be far better off deferring tax deductions like prepaying property taxes and making charitable contributions in 2007 when the deductions could be more valuable when taken against a higher marginal tax rate.

 Year End Tax Planning for 2006: Play Now | Play in Popup | Download (2185)