Oregon Tax Preparation and Personal Accounting Services
If you’d prefer to focus on living, we’re happy to focus on your finances! Yes – we handle the usual stuff, like your annual tax return. But, unlike many CPA firms, we don’t stop there. We’ll also help you manage your big-picture financial goals and all the steps for achieving them. You can consider McCoy Foat your convenient, one-stop partner. We look forward to the opportunity to helping your life run smoothly. Click the links below to learn more about our services.
- Splitting income among several family members so that more income is taxed in lower tax brackets.
- Shifting income from one year to another so that it’s taxed at a lower rate.
- Shifting deductions from one year to another to place them where the tax benefit will be greater.
- Deferring tax liability through certain investment choices and through pension plan contributions.
- Structuring your affairs to obtain tax deductions for enjoyable expenses, such as vacation homes.
- Investing your money to produce income that is exempt from federal and/or state income taxes.
We continuously monitor tax law changes and recommend sensible adjustments, using a combination of tax-saving strategies tailored to your personal situation.
- Gifting – Current tax law allows you to give away $12,000 per year, per family member. Your spouse may join in the gift, even if he or she is not an owner in the transferred asset. This means that you could transfer up to $24,000 annually to each of your heirs. To double the annual exclusion yet again, you may want to include spouses of your children. The person receiving the gift does not need to be related to you. These annual gifts do not reduce your once-in-a-lifetime estate tax exclusion.
- Property transfer – If you have property that is not needed for your retirement, maybe it’s a candidate for transferring during your lifetime. If it is a large income-producer, the future income will be taxed to the new owner and not to you, plus the property will be out of your estate.
- Spousal transfer – Generally, unlimited transfers can be made to your spouse either during your lifetime or through your estate. There are generally no taxes on spousal transfers, regardless of size. But leaving everything to your spouse may not be a good idea, since doing so fails to utilize the lifetime exclusion amount in the estate of the first spouse to die. Planning will allow you to use the exclusion in both estates, and you’ll be able to transfer twice as much to your heirs free of estate tax.
- Life insurance proceeds – Proper planning can ensure that certain life insurance proceeds are kept out of your estate.
- Capital gains carry a favored tax status. Consider putting more dollars in investments that return capital gains.
- You can take an annual deduction of up to $3,000 of capital losses in excess of capital gains. Consider balancing your winners and losers to maximize this deduction every year.
- Investments which produce high taxable annual income can be given to family members who are in lower tax brackets, thereby saving taxes from the overall family group.
- Depending on your tax bracket, you may benefit from investing in municipal bonds.
We’ll review ideas with you and your investment advisor and make recommendations, like those referenced above, to maximize your after-tax return.