How to Pay Less Tax Legally: We see taxes as a necessary expense but what if they were also a source of income savings? You can pay fewer taxes legally. The key is to plan well in advance and apply a series of tricks to deduct expenses and delay the passage through the Treasury box.
The main problem for which most will pay more in rent is that they act when they should not. In other words, they confuse saving on rent with making the income statement. It is about things very differently. Ask any finance expert like Ed Rempel if you need some financial suggestion. Ed Rempel Brampton has been a Certified Financial Planner for over twenty years, and a accountant forthirty-three years.
How to Pay Less Tax Legally
When to act to pay fewer taxes
Most taxpayers think about saving on taxes when it comes time to make an income tax return. The reality is that at that point the savings options will be rather limited. And it is that when it comes to optimizing the fiscal invoice it is necessary to differentiate between saving by planning the payment of taxes and saving when making the IRPF. The first of the options is the most interesting.
Save planning tax payment:
- The income statement is paid from one year to another. Thus, in 2017 we presented the 2016 income, related to the fiscal year of 2016. From a technical point of view, this means that the payment of the rent is accrued to April, the month in which the rent campaign begins.
- Planning the rent throughout the year is what will really allow us to save on the IRPF by taking actions to deduct expenses, for example. Later we give you tricks to save on rent that do work.
Save when making the rent:
- It is also possible to save on taxes when filling in the IRPF. The only drawback is that here the options will be more limited. The reason is that when doing the rent we will limit ourselves to putting what we have done during the fiscal year. If we have not contributed to a pension plan we cannot deduct even if it would have been good for us, for example.
- This does not mean that we cannot do things to avoid overpaying in the IRPF. These two articles will help you achieve this:
- Boxes to save on the income statement
- 16 things you should check the draft
Tips to pay less tax legally:
Now that you are clear that the time to plan the payment of taxes is now and not when you do the IRPF we will see what tools you can use to achieve it.
Bring out gains to compensate with losses:
If you are single of persons who say you do not desire to pay additional taxes and you have misplaced cash with your savings, you can take advantage of the rent. The majority of savings products allow compensation for losses with income in income tax. In additional language, by including your savings you can take away the currency you have misplaced from the currency you have earned, so that you will simply disburse taxes for the real advantage.