Tax Planning For 2021

As December approaches, it’s time for us to begin the process of tax planning for 2020. We try to do this for all of our customers right before tax season. Once the returns are completed timely, we also try to do another tax planning session after the season to make any necessary additional adjustments.

This year will be similar to other years given the fact that the tax changes for 2020 are yet to be passed. Sadly, this is more common than not. I’ve had years where they were still passing tax laws in the third week of January.

All of our clients will be receiving my full year-end tax letter in the mail somewhere in the next couple of weeks. It will also include your individual tax organizer for 2021.

Once we’ve completed your November 2020 Financial Statements, it will be time for us to do your year-end tax planning. We can’t give proper advice without having solid November financials in place.

Please get your work in ASAP. I’ll only be able to do four or five appointments daily, so please also get your appointment requests into Julie early as well.

If you are receiving advance credit payments, please keep track of them. Given the fact that they are probably being deposited into your personal accounts, there’s no way for us to know what has or hasn’t been deposited.

This will probably be the number one reason that 2021 returns are done incorrectly. If you tell us the wrong amount of credits received, or even the wrong type of credit that was paid, once the return is processed the Service will send out a correction letter.

That letter will hold up any refunds and probably include interest and penalties. Please keep track of the credits so that we can get the return done right the first time.

Let me leave you with this.

I do hope that all of you had a relaxing and enjoyable time over the holiday. There’s nothing quite like spending time with family and friends.

I had received some complimentary tickets to “Her Honor Jane Byrne” at the Lookingglass Theater in the Water Tower, so we made a reservation across the street at Nomi for dinner before the show. I was alarmed by the number of police on Michigan Ave, so I mentioned it to the seating hostess.

She said, “Thank God they’re finally down there. The Canada Goose parka store in our lobby was robbed two days ago.” Do any of you remember hearing about this? I certainly don’t.

Think about it. This happened in the middle of the Christmas shopping season right across from the Water Tower. Two short years ago, this would have sounded like fiction.

We had dinner and saw the show. It portrayed the twenty-five days that our former Mayor Jane Byrne moved into Cabrini Green and the confrontation that occurred between the Mayor, the gangs, the community organizations, and the residents back in ’81.

Speaking as a former member of Actor’s Equity, I can tell you that it was done very well, and will probably receive at least a couple of Tony’s. This isn’t a play for the meek. It isn’t Broadway in Chicago or Disney on Ice. It’s just as raw, confrontational, and disturbing as Cabrini used to be.

So we walked out of the theater, and what’s the first thing we saw in front of the Water Tower? It was a CPD blue and white with it’s lights flashing on the sidewalk.

And it wasn’t alone. I counted seven more squads on the four blocks between the Water Tower and the entrance to the Outer Drive, all with their lights flashing.

It felt like some sort of alternate universe, like we were under martial law.

Have things really come to this? Those cops weren’t there for no reason.
If I were a tourist and had seen this, I would have hopped back into my Brady-mobile and gone back home to wherever.

We’ve all given some thought to how the world has changed post Covid. I certainly hope that this change isn’t permanent.

So much for my childhood memories on the Mag Mile.

We’re all going to get through this. Let’s get through it together.

Accounting Solutions Ltd. stands ready to complete our mission and purpose of protecting you, your family, and your business. Whether you need Employee Retention Credits, PPP Loan Forgiveness, Payroll Services, or Accounting and Tax Work, you have but to ask. I’m here and I remain,

Sincerely yours,

Chris Amundson
Accounting Solutions Ltd.

Note that the only professional services provided by Accounting Solutions Ltd. are those specified in a written communication from our office detailing the scope of services to be rendered and the terms and conditions applicable to the engagement.