Proactive Financial and Tax Planning Strategies

The American Taxpayer Relief Act of 2012 (ATRA) and Net Investment Income Tax (NIIT) have added more complexity to planning given that you now have to navigate through a multi-layer tax system in conjunction with running multi-year scenarios to gain a clear picture of the tax landscape in order to advise your clients on virtually all of their personal financial planning decisions.  CPA financial planners have an opportunity to demonstrate their value to clients by providing guidance, planning, and tax expertise.

The following tools and resources will help you plan proactively for your clients.  Note that content created to help you in planning for year-end are relevant planning ideas and strategies going forward.

Charts Provided by Robert Keebler

Client Communications

Broadridge Advisor (free access to PFP/PFS members) includes extensive-content written by CPAs, attorneys and other experts on planning strategies, new relevant laws, etc. that are articulated in client terms

Additional Tools and Resources

The CPAs Guide to Financial and Estate Planning - the 4-volume, 1,000 page guide, exclusively available to PFP/PFS members, covering estate, tax, retirement, investment and risk management planning includes content on ATRA and NIIT.

Tax Planning Opportunities After ATRA: Tools, Tips, and Tactics (PFP members save 10% off the already discounted AICPA member price)

Dealing with the 23.8% Tax on Trust Capital Gains: 21 Ways (and Counting) to have a Trust’s Capital

Gain Taxed to the Beneficiary
 - this article reviews the new 3.8% NIIT and how it applies to trusts and beneficiaries, as well as how a trust’s capital gains can be taxed to the beneficiary.

Roth Conversion Planning

American Taxpayer Relief Act

Joint Committee on Taxation Overview

Journal of Accountancy article - overview of Net Investment Income Tax and access links to the regulations

IRS FAQs on Net Investment Income Tax

Summary of Net Investment Income Tax Regulations from Bob Keebler

Checklists to plan for the Medicare surtax: Individuals | Estates & Trusts