Monsoon Season July Update

Summer “Monsoon” season is here in the greater Tucson metro area and southern Arizona! Summer on a wider scale is a good and wise point to “take stock” and assess risks financially and get control of your tax exposures where possible. There have been three sets of tax law changes in the last 12 months, affecting the year 2021. More changes are likely coming, but some HOT areas among those changes so far…

  • Capital Gains Transactions
  • Retirement Plan Distributions
  • Probable Estate/Gift tax exemption changes

At this summer mid-point, here are some suggested action points:

  • Estimated Tax Payments, if you are required to make payments, plan to get caught up by 9/15. This will lower penalties for 2021 compared to not making any estimate payments. If you didn’t have estimate payments before but have the need NOW, we can run calculations. Give us a call!
  • You have control over W-2 tax withholding. Use it to your advantage, update a new W4 form with your employer, if you feel you might be under-withholding.
  • Use retirement plans to your maximum advantage and revisit the beneficiary designations you have in place on them.
  • Plan for lead time on upcoming tax due dates:
    • Extended entity income tax filing due date is 9/15
    • Estate/Trust extended 2020 income tax filing due date to 9/30
    • The 3rd estimated tax due date for 2021 is 9/15
    • Extended 1040 tax (for 2020) filing due date is 10/15
  • See the enclosed summary of the “Services” our firm offers and are available to you. We would be happy to help you succeed in your personal or business planning!

We are here for YOU!