Tales of the Tax Return
John P. Napolitano, CFP®, CPA, PFS, MST, RLP®
139 Wood Road, Braintree, MA 02184 781-849-9200 www.uswealthcompanies.com
Why Tax Returns
•
•
•
•
Reliable Scorecard
Client commitment
Evaluation of other advisors
Uncover opportunities
Which Returns
•
•
•
•
1040
1065
1120
1120S
•
•
•
•
5500
1041
706
709
1040
• Dependents
– Children
• Education planning
• Gifting
• Income shifting
– Elderly Parents
• Estate planning
Income
• Deferral opportunities
• 401K, 457, 403b
• Plans from former employers
Interest
• Taxable
– Source
– Alternatives
• Tax Exempt
– Source
– Alternatives
• Title to Asset
Dividends
• Source
– Funds
– Stocks
• Performance
• Alternatives
• Title
Schedule C
•
•
•
•
•
Succession planning
Audit Risk
Income shifting
Retirement plan
Risk Management
– Liability & Asset protection
– P & C coverage
– Home office?
Schedule D
•
•
•
•
Loss carry forwards
Trading activity
Loss harvesting
Coordinated with tax plan?
IRA Distributions
•
•
•
•
•
Are there any?
NUA from 401K
Should there be some?
Beneficiary elections
Where should client be taking money
from?
Schedule E
• Gold mine of information
• LLCs, Sub S & Partnerships
– Succession issues
– Agreements
• Real Estate
Schedule E
– Risk management
– Multiple owners
– Form of ownership
– Estate Planning
• Trusts (1041)
– Assets to manage
– Trustee adequacy & opportunity
Simple, SEP, IRA
• Maximizing opportunity
• Investment choice
Itemized Deductions
• Charitable
– Appreciated Securities
– Timing
– CRAT, CRUT
– Private Foundation
1065
•
•
•
•
•
•
Current Partnership agreement
Valuation
Buy Sell
Retirement Plans
Employee benefit plans
Partners!
1120 & 1120S
• Total Assets
• Compensation of officers
• Rents
– Who owns the property?
• Pension and Profit Sharing
• Employee benefit plans
1120 & 1120S
•
•
•
•
Shareholder agreement
Partners
Succession plan
Deferred Compensation agreements
709
•
•
•
•
•
•
•
# of Donees
Previously filed 709
Split Gifts
529s
Valuation and discounts
Basis & Date
Generation Skip
706
• For Deceased spouses
• For current estate plan
John P. Napolitano, CFP®, CPA, PFS, MST, RLP®
Chairman & CEO
U.S. Wealth Management, LLC
139 Wood Road
Braintree, MA 02184
781.849.9200
www.uswealthcompanies.com