5 ways to withdraw cash from your corporation while avoiding dividend treatment

5 ways to withdraw cash from your corporation while avoiding dividend treatmentDo you want to withdraw cash from your closely held corporation at a low tax cost? The easiest way is to distribute cash as a dividend. However, a dividend distribution isn’t tax-efficient, since it’s taxable to you to the extent of your corporation’s “earnings and profits.” But it’s not deductible by the corporation.

Turning next year’s tax refund into cash in your pocket now

Turning next year’s tax refund into cash in your pocket nowEach year, millions of taxpayers claim an income tax refund. To be sure, receiving a payment from the IRS for a few thousand dollars can be a pleasant influx of cash. But it means you were essentially giving the government an interest-free loan for close to a year, which isn’t the best use of your money.

Get 2 tax benefits from 1 donation: Give appreciated stock instead of cash

09_27_16-585153656_ITB_560x292.jpgIf you’re charitably inclined, making donations is probably one of your key year-end tax planning strategies. But if you typically give cash, you may want to consider another option that provides not just one but two tax benefits: Donating long-term appreciated stock.