How easy is it to repress any thoughts of taxes, once the returns are filed? Before you forget about your taxes for another year, please consider this: if you had done more tax planning in advance, might your tax situation have been better at filing time? Especially if you had a significant financial event in 2016, such as an option exercise, a liquidity event, or a material change to your family’s finances?

Here are some examples where “forward-looking” tax planning could benefit you and your family:

• Did you meet Mr. AMT (Alternative Minimum Tax) for the first time this year, and pay more than you anticipated? A sneaky fellow, eh?
• Were you aware of the Qualified Small Business Stock (QSBS) gain exclusion available on founders’ equity shares?
• Should you have considered accelerating vesting, via an 83b election, on stock options before the market value of the shares rose—which can bring a visit from Mr. AMT?

Even if you missed a tax-savings opportunity in the last three years, you may be able to recover your excess taxes paid. (The IRS allows you to amend your tax returns for up to three years.) And tax planning in anticipation of a liquidity event is not counting your chickens before they hatch, it’s just smart. The sooner you deal with the tax implications, the better your likely outcome.

The worst thing we hear from clients who are new to our tax planning, tax preparation and holistic financial planning services is, “I wish I met you two years ago!” GW & Wade, an independent tax and wealth advisory firm, has deep experience with the unique circumstances of technology entrepreneurs and executives. Let us help you look—in advance—around the tax corner!

The information provided above is general in nature and is not intended to represent specific investment or professional advice.  Any results cited do not necessarily represent the experience of other GW & Wade clients.  No client or prospective client should assume that the above information serves as the receipt of, or a substitute for, personalized individual advice from GW & Wade, LLC, which can only be provided through a formal advisory relationship.  

Clients of the firm who have specific questions should contact their GW & Wade Counselor. All other inquiries, including a potential advisory relationship with GW & Wade, should be directed to:

Laurie Gerber, Client Development

GW & Wade, LLC

T. 781-239-1188

lgerber@gwwade.com