For business owners, the end of the year can sneak up fast. Between wrapping up projects, managing holiday sales, and preparing for time off, it’s easy to push tax planning to the last minute. The problem? By December, many of the smartest moves are no longer available.
That’s why September and October are the perfect months to take a proactive approach. A little planning now can reduce your tax liability and set your business up for a smoother start to 2026. Here are four key areas to focus on:
1. Review Quarterly Tax Payments
Don’t wait until the year is over to find out you’ve underpaid. Reviewing your year-to-date profit and quarterly payments now helps avoid penalties and surprises. If your income is higher than expected, adjusting before the final quarter is much easier than trying to play catch-up in January.
2. Accelerate or Defer Income & Expenses
Strategic timing matters. If you anticipate being in a higher tax bracket next year, consider accelerating expenses into 2025 to reduce this year’s taxable income. On the flip side, if your revenue will dip in 2026, deferring income may allow you to pay taxes at a lower rate next year.
3. Maximize Deductions & Credits
Year-end is prime time to take advantage of deductions and credits:
4. Don’t Wait Until December
The biggest mistake business owners make is waiting until the year is almost over. By then, your options are limited. Acting now gives you the flexibility to make strategic decisions and maximize your tax position.
The bottom line: Year-end tax planning isn’t about scrambling in December — it’s about taking control now. At GLM, we help business owners identify opportunities, reduce tax liability, and head into the new year with confidence.
That’s why September and October are the perfect months to take a proactive approach. A little planning now can reduce your tax liability and set your business up for a smoother start to 2026. Here are four key areas to focus on:
1. Review Quarterly Tax Payments
Don’t wait until the year is over to find out you’ve underpaid. Reviewing your year-to-date profit and quarterly payments now helps avoid penalties and surprises. If your income is higher than expected, adjusting before the final quarter is much easier than trying to play catch-up in January.
2. Accelerate or Defer Income & Expenses
Strategic timing matters. If you anticipate being in a higher tax bracket next year, consider accelerating expenses into 2025 to reduce this year’s taxable income. On the flip side, if your revenue will dip in 2026, deferring income may allow you to pay taxes at a lower rate next year.
3. Maximize Deductions & Credits
Year-end is prime time to take advantage of deductions and credits:
- Section 179 Deductions: Write off equipment and technology purchases made before year-end.
- Retirement Contributions: Funding retirement plans reduces taxable income while helping you and your employees save for the future.
- Energy and Other Credits: Depending on your industry, there may be credits you’re leaving on the table.
4. Don’t Wait Until December
The biggest mistake business owners make is waiting until the year is almost over. By then, your options are limited. Acting now gives you the flexibility to make strategic decisions and maximize your tax position.
The bottom line: Year-end tax planning isn’t about scrambling in December — it’s about taking control now. At GLM, we help business owners identify opportunities, reduce tax liability, and head into the new year with confidence.
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