San Francisco March Tax Bulletin: Charitable Contributions, Mutual Fund Class Shares & More

Filed in CPA Blog by on February 21, 2014
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March Madness usually refers to basketball, of course, but in the tax and accounting business here in San Francisco, “March Madness” might refer to the last gasp of terror before the April 15th individual tax deadline for both the Federal government and for California. We do our best to prepare our clients – businesses and individuals – throughout the year, but inevitably we have last minute filing issues, especially for individuals given that April 15th is closer and closer.

March, 2014 - Tax BulletinThat said, it’s time for our March tax bulletin, and looking forward more long-term to tax and accounting issues that can help you as an individual or as a business. So we are posting our March tax bulletin.

Contents include:

  • Juggling Appreciated Assets and Bequests – Learn how, why, and when to use appreciated asset donations for charitable contributions.
  • Learning About Mutual Fund Share Classes – Understand A, B, and C classes of mutual shares.
  • Estimate Taxes for Business Owners – it’s time to computer, and pay, those pesky business taxes.

Charitable contributions are a good thing in and of themselves, but you can maximize your contributions’ heft by timing the donations in an appropriate manner, including a keen eye towards appreciated assets.  During your lifetime, donating appreciated assets to charity can make sense. As long as you have held those assets for more than one year, you’ll get a deducation for the assets current value.

IRS Circular 230 Notice

The Internal Revenue Service requires Safe Harbor LLP to inform the reader that any tax advice contained in this correspondence cannot be used for the purpose of avoiding penalties under the Internal Revenue Code or for promoting, marketing or recommending to another party any transaction or matter addressed.