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Here Are 5 Small Business Tax Strategies to Know for 2025

Stoy Hall, CFP and founder of Black Mammoth, shares how he's helping small business owners leverage tax planning strategies—including entity optimization, deductions, and retirement accounts—to minimize liability and build long-term wealth.

The article from MSN outlines five key tax strategies for small businesses to consider in 2025. First, it emphasizes the importance of understanding the Tax Cuts and Jobs Act (TCJA) changes, which include a potential increase in the corporate tax rate from 21% to 28% and modifications to individual tax rates. Second, it advises businesses to maximize deductions by taking advantage of Section 179 expensing and bonus depreciation, which allow for immediate write-offs of certain business expenses. Third, the article suggests exploring the Qualified Business Income (QBI) deduction, which could be affected by TCJA changes, and stresses the need to consult with a tax professional to optimize this deduction. Fourth, it recommends considering the benefits of S corporation status, which can help reduce self-employment taxes, but notes that this decision should be made with professional guidance. Finally, the article encourages small business owners to stay informed about potential tax law changes and to plan ahead, possibly by setting aside funds to cover increased tax liabilities.

Read the Full Investopedia Article at:
https://www.msn.com/en-us/money/smallbusiness/here-are-5-small-business-tax-strategies-to-know-for-2025/ar-AA1Cfol6