End of the Year Planning

What should you be doing now.

- Nathan Corroy, CFP® -

Energy Tax Credits Expiring in 2011 - Credits need to be claimed in the year in which they are purchased. The following forms must be filed by April 15th, 2012. IRS Form 5695: If you have made qualified energy efficient or renewable improvements to your house (nonbusiness). This includes renovations such as insulation, roofing, water heaters, windows and doors et cetera, to biomass stoves and solar panels. IRS Form 8910: If you have purchased a alternative motor vehicle. This includes hybrids, electric, and clean diesel automobiles. IRS Form 8936: If you have purchased a qualified plug-in electric drive motor vehicle.

Minimum Required Distributions (MRDs) - In early November, FFP will be sending out notices to all clients over the age of 70½ with traditional IRAs to ensure that 2011 Minimum Required Distributions have been met. Clients will again have the option of completing a Qualified Charitable Distribution, direct to any qualified charity, to avoid the ordinary income tax on MRDs.

Tax Planning - Start your year-end planning now by letting FFP assist you with developing strategies to minimize your tax liability. By doing things The Tax Supersheet™ Way, FFP can help plan for:

Charitable Donations
Retirement Plan Contributions
Retirement Plan Distributions (including MRDs)
Tax Deductions and Credits Utilization
Federal and State Withholding
Tax Reduction Strategies