Year-round tax planning for business owners. We map out your federal, state, and local taxes in advance, so you can optimize for tax efficiency.
Once your return is prepared, the year is over and most of your options are gone. The decisions that shape your tax bill have to be made before December 31, and as a business owner you have far more of them than a typical W-2 earner: how you pay yourself, how your business is structured, when you make major purchases, and which elections you make.
The city taxes businesses on revenue, profits, and payroll, and since the 2025 tax year, BIRT reaches small businesses that used to be exempt. Your entity type changes your city taxes too: S corps can't use the 60% BIRT credit against the Net Profits Tax, and owner salaries may be subject to Wage Tax. We plan all three levels together, so a federal win doesn't become a city surprise.
Most of those decisions need numbers behind them. Setting an S corp salary, getting the most from the QBI deduction, or deciding whether a PTET election pays off all take projections and analysis, not guesswork.
Understand your goals and project your taxes
Planning starts with a full picture of you and your business: what you expect to earn, and what's ahead, like hiring, major purchases, expanding into new states, or selling. Those plans drive decisions about deferrals, expense timing, and entity choice, so we build accurate projections around them and use them to set your estimated tax payments.
Choose your entity, then plan around it
We start with the big decision: whether an LLC, S corp, or partnership fits your projected income and goals, and we re-evaluate it as your business changes. Within that structure, we set a reasonable salary for S corp owners that matches expected profit, model the W-2 wages that maximize your QBI deduction if your income reaches the phase-out range, and test whether a PTET election actually saves money, since PTET rates can be higher than what you'd otherwise pay. When it does, we time the payment: deferring it when next year's income will be higher, and otherwise accelerating it to take the deduction sooner.
Time deductions and capture credits
We time income, expenses, and major purchases using your projections, weighing the time value of money rather than chasing this year's deduction alone. For high earners, we evaluate options like a defined benefit plan, which can shelter far more income than a typical retirement plan.
Plan for state and local taxes
We start by confirming where you have nexus, since many owners have filing obligations in states they don't realize. Small changes to how your business operates can reduce the income apportioned to high-tax jurisdictions, including Philadelphia. We also set up your books to capture credits that take careful tracking. The Healthy Beverage Tax Credit, for example, is based on the year-over-year increase in qualifying purchases, which most businesses never track.
As early in the year as possible. Many of the best moves, like setting an S corp salary or timing a major purchase, have to happen during the year. Even starting in the fall leaves time to act before December 31.
Tax preparation reports what already happened. Tax planning shapes what happens next, so your return reflects decisions you made on purpose.
Yes. We plan federal, Pennsylvania, and Philadelphia taxes together, including BIRT, the Net Profits Tax, and how your entity type affects each.
Many clients come to us for proactive planning their current provider doesn't offer. We can take over completely, or start with a review of your current situation.
Book a free consultation. We'll review where you stand and show you the planning opportunities that apply to your business.