Christmas is the season for giving not only for individuals but for companies and businesses as well. As the year draws to a close, it is time to reward your employees for their performance and for their contribution to the company’s growth. For many companies that have been around for a number of years, this is also the time to recognize their loyal employees who have stuck it out with them for years. Along with the Christmas parties, recognition programs for service awardees and performance awardees are also held during this time. Of course, there’s also the bonuses and the gifts that employers give to their employees before the end of the year. Employee benefits packages are also reviewed and renewed during this time. The giving does not end with the employees. Companies can also to give to their chosen charities during this season. This generosity is rewarded by tax cuts on your business.
What you might not be aware of is that you can enjoy tax cuts on your business for corporate funds spent for employee benefits and bonuses and donations to charitable institutions. You might want to check out how you are using your cash to benefit from tax cuts at the end of the year. A professional accountant can do the pencil-pushing for you to help you determine how you can preserve more of your revenues. This is especially helpful if you have a lot of surplus cash on your books that increase your tax bracket. In some cases, the tax implications also extend to the business owner’s personal taxes.
There are other ways through which you can enjoy tax cuts on your business. This is not to say that you should skirt your tax obligations. You have to pay your dues to the government, your employees, and to the community that you serve. You simply have to be practical about how you are managing your business finances to enjoy the gains that you deserve. In the end, you want to reap the fruits of your hard work while fulfilling the obligations of a tax-payer, a conscientious employer, and a responsible corporate citizen.
