Business Services

Business Taxes

The Capital Tax™ Approach

Business taxes are responsible for taking a large portion of your business profits, reducing cash flow to the business and its owners. Our firm's model is focused to implement strategies that minimize that tax bill. We utilize a three-step approach to achieve optimal tax planning outcomes for our business clients:
 

Step 1. Measurement

 

In this initial phase, we meet with you to learn more about your business model, your sources and uses of cash, and long-term growth strategies. The recently-passed Tax Cuts and Jobs Act (TCJA) provides a significant number of tax reduction opportunities for small businesses. Our experienced team deeply understands not only the conceptual framework of the TCJA but also the practical implementation of how these new tax laws can provide savings for your business.

Step 2. Recommendations

 

We evaluate our findings from step one to form tax recommendations based on your business specifics. We also make tax planning recommendations every year, as your situation and the tax laws inevitably evolve. 

Our recommendations include:

  • Entity Selection most appropriate for your business

  • New Tax Laws

  • Impact of Tax Cuts and Jobs Act (TCJA)

  • Tax efficient retirement plans

  • International business tax issues

  • Global employee mobility planning

  • Transfer Pricing structures

  • Family business planning

  • Effectively use of employer benefit

  • Real estate tax planning, including passive loss strategies

  • Business succession and exit strategies

  • Bonus Depreciation and Section 179 depreciation

  • Tax Reform Readiness

  • Family and multi-generational tax planning

  • Tax efficient investment strategies

  • Charitable giving such as charitable lead trusts, charitable remainder trusts

  • Trust and estate planning, including trustee and fiduciary guidance

Step 3. Implementation
 

Lastly, we implement your customized tax planning strategy and complete your tax returns. Our team adjusts implementation over the course of our client relationship as your business needs and targets invariably adjust over time. We also make sure that compliance issues are reflected on your tax return with the proper forms and schedules. Additionally, we apprise you of changes to tax rules and how to take advantage of them for your specific needs.

Business Consulting

The Capital Tax™ Approach

In this transformative age, business owners are challenged in how they can achieve maximum value for their organization. Our team challenges assumptions and helps create strategies for our clients to grow revenue and improve profitability. Identifying important aspects of business to focus on, our clients are able to have their finger on the pulse of their business to take timely advantage of opportunities.

  • Increasing visibility through key financial and operational measurements such as key performance indicators (KPIs) and financial analysis and key business ratios

  • Selecting an entity type that best fits your business model

  • Business succession alternatives for best value

  • Business startup from initial funding to exit strategies

  • Enhancing team productivity

  • Increasing automation and effectiveness through technology adoption

  • Managing risk to protect your assets

  • Price sensitivity analysis to improve margins

  • Analyzing customer base

  • SWOT analysis (Strengths, Weaknesses, Opportunities, Threats)

Business Accounting

The Capital Tax™ Approach

Accounting is a foundational necessity for businesses of all sizes, and their best consultant. The importance of an effective accounting system cannot be overstated. Accounting reports provide you with information you need for your daily needs to run your business effectively. They also give you information upon which to make key strategic decisions, such as which products or services provide the highest margins, and which the lowest. Your accounting system summarizes the results of the company’s performance so that it can be reviewed, analyzed and improved.

 

At Capital Tax, we appreciate the critical role that a fully optimized and integrated accounting system plays in setting you apart from your competitors. We take a four-step approach to establish an accounting system that will improve your bottom line: 

1. Measurement

 

During this initial phase, we study your business model and your corporation’s sources and uses of cash. We interview you to get a baseline feel of your data needs and to understand your future projections.

2. Design

 

We evaluate our findings from step one to design an accounting system best suited for your specific business needs. Our account system set-up services include:

  • Setting up the chart of accounts so that it’s easy to read and interpret reports and transactions.

  • Create and memorize basic set of accounting reports that would allow the owners or management to effectively reflect the performance of the business, and pinpoint opportunities and threats based on analysis on the reports.

  • Memorize re-occurring transactions for ease of use.

  • Create customized reports for more advanced analysis.

  • Create a list of accounting closing procedures.

  • Identify new sources of revenue.

  • Perform price sensitivity analysis to see the impact on gross margin and net income.

  • Periodic analysis guidance for improving revenue and profitability.

3. Creating Key Performance Indicators
 

Key performance indicators (KPIs) are the corporation’s equivalent of vital life signs. KPIs are generated from your accounting numbers and must be reviewed frequently to make sure the business is headed in the right direction. We will discuss with you to determine the financial, operational and marketing KPIs that will ensure the healthy growth of your business. 

4. Maintenance
 

We monitor your accounting system monthly, quarterly or annually, or on an agreed-upon dates, depending on each client’s needs and internal setup. During this monitoring, we correct errors, review reports for accuracy analyze reports, and answer any questions.

An accounting system is a constant “work in progress” as new transactions are recorded and requires monitoring and updating to remain effective. We will also be available for any questions you may have outside the scheduled meetings.

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Contact

info@capitaltax.com

(925) 977-7784

150 North Wiget Lane

Walnut Creek, CA 94598

© 2020

Tax Accountant for Small Business