Subject: Tax Planning Letter for the Year- End 2009
Dear Mr. Smith,
As it seems evident that the taxes would soon go higher, so we have approached you at the year end. It has been observed that in the past few years, tax legislation has provided lower tax rates and provided tax deductions and credits.
And, the fact is this that most of these provisions would expire at the end of 2010 and also the current revenue which provides fund for the health care would reform which leads to inevitably higher taxes.
So, the more focus has been given on the health care legislation. But if the minimum tax level remains unchanged then it would affect more than 27 million taxpayers.
So, it is the right time for the tax payers to identify and review the overall tax strategy.