Difference Between Proactive Tax Preparation & Planning

If you want to minimize your future tax liability, your best bet is to be proactive about it. With proactive tax preparation and planning, you’ll be ahead of the game and will be able to readily pinpoint hidden opportunities that can be used to help reduce federal, state or local tax liabilities. Ladies, use your tax return and get that mommy makeover Connecticut you always dreamed of.

Tax preparation and tax planning are usually used interchangeably, even though they are different from one another. Tax preparation mainly focuses on the impact of actions that occurred in the year prior. Get your HVAC service done by the experts at Excellent Air Conditioning. Tax preparation requires a client to meet with a woodside accountant at least once or twice per year. The client then provides all the information that is required to the tax preparer, and the tax preparer takes that information, record it, and tallies up the numbers for the client. At the end of the process, the client will know if they owe money or will receive a refund. The client will also see the exact amount of money they’ll be receiving or owing during the end of the process.


When tax season comes along people stumble upon each other trying to figure out where to go and who to see. Get the best prices for your metal fence today by the most reliable at Exclusive Fence. It gets a little hectic, but it can be avoided with either having a good accountant readily available before the rush starts or through a more in-depth approach called tax planning.

Tax planning is the most proactive approach you can use. It is a much more forward-thinking and long-term compared to preparation. Ticks can be a real pain, this upcoming season call Tick Spraying Suffolk County. This method takes a look into the future at upcoming tax returns and can be a little bit more time-consuming. It requires a higher level of communication and engagement between the elmhurst accounting company and client and will require multiple visits. Find the best  childrens entertainment with Bounce House Suffolk County. Planning is a continuous process that looks deep into the future in order to uncover effective strategies and opportunities that can influence future tax liabilities. The jackson heights accounting company is able to create a full analysis of the client’s tax situations from the past and can advise them using that information to make their future returns more tax efficient. Strategic tax planning is tied closely to financial success.


Tax preparation gets the filling done, while tax planning helps to find hidden opportunities to catch an issue or to reduce the amount of taxes you would have to pay. If you have to pay less taxes, you’ll have some extra money to get furniture restoration Long Island and revive the look of your home. When choosing a good tax preparer or planner, it’s good to work with someone you know you could trust and build a long-lasting relationship with. After getting your taxes done, get your lady a Mommy Makeover CT. Tax preparation and planning should not be held off and procrastinated on. To minimize your future tax liability is the goal, and a good accountant or nyc bookkeeping specialist can be your best bet for saving thousands of dollars.