#tax-planning
Strategic tax planning to minimize liability and maximize savings
UAE Small Business Relief ends for tax periods after December 31, 2026 — elect it on your final return, but skip it in a loss year to keep the carryforward.
More than 40% of your MACRS basis placed in service in Q4 forces the IRS mid-quarter convention on every asset — a 5-year purchase falls from 20% to 5%.
The new US senior deduction gives filers 65+ up to $6,000 through 2028, shrinking 6 cents per dollar of MAGI over $75,000 single or $150,000 joint.
North Carolina's corporate rate hits 0% in 2030, but S corporations never paid it — and the state imposes no built-in gains tax. Here's what actually changes.
Section 721 defers tax on the ~20% sellers roll into a PE buyout — but junior securities, leverage, and weak minority rights can erase the second bite.
Form 2210 Schedule AI matches each IRS estimated-tax installment to income earned by March 31, May 31, Aug 31 and Nov 30 — it can only shrink your penalty.
The IRS holds interest at 7%, compounded daily, for Q4 2026 — a $10,000 balance costs about $178 a quarter, matching the estimated-tax penalty rate.
Owner-operators deduct 80% of the $80 IRS transportation per diem rate — $64 a day — not 50%. Claim only overnight days and prorate partial days at 75%.
Section 170(e)(3) lets any business deduct donated food at cost plus half the markup, capped at twice cost — with a 15% net-income limit, a five-year carryover, and a Good Samaritan liability shield.
OBBBA doubled the annual 529 K-12 withdrawal cap to $20,000 per student for 2026 and made tutoring, test fees, and credential programs qualified — but nonconforming states like California still tax the earnings and can recapture prior deductions.
Canada cancelled the two-thirds capital gains inclusion rate on March 21, 2025, but kept the $1.25M lifetime exemption — roughly $1,275,000 indexed for 2026. Here are the QSBC tests, CCA recapture, and 45(2)/45(3) elections that decide your bill.
Section 45Z pays $0.20–$1.00 per gallon (pre-inflation) on fuel produced after 2025, but only if your Form 637 registration predates production, the feedstock is North American, and you use that year's emissions table.
