139 Wood Road, Braintree, MA 02184 781-849-9200 www.uswealthcompanies.com

Tales of the Tax Return

John P. Napolitano, CFP®, CPA, PFS, MST, RLP®

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

Schedule E• Real Estate

– 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