Tax strategy scan

One strategy for clients to continue their philanthropic work and reduce their bill is to bunch multiple years of donations into one with a donor-advised fund.

The added savings could be used to pay off student loans as well as increase mortgage payments and retirement plan contributions.

The products can offset potential losses from lowered state and local deduction limits.

The right strategy can put them “in the 0% tax bracket,” an expert writes.

Underlying strategies make them more tax-efficient than actively managed mutual funds, an expert says.

Claiming above-the-line tax write-offs doubles the standard deduction.

Clients may consider changing their business structure under the new law.

The rewrite could affect how these firms value potential buyout targets.

Seniors are less likely to itemize tax deductions this year as a result, an expert says.

The law allows clients the ability to make tax-free withdrawals for elementary and secondary school expenses.

Personal exemptions may be lost but households can expect higher savings from the child tax credit, an advisor says.

The right strategy can help minimize their future estate taxes.

Many deductions are likely to disappear if Congress passes the reform bill into law.

Clients should consider tax breaks such as education expenses, mortgage interest payment and small business costs.

Whether they have a mortgage does not affect the capital gains calculation, according to a CFP.

Retirement location "matters just as much to your tax bill as what you have,” an expert says.

The proposal aims to simplify tax subsidies by increasing qualified withdrawals from 529s in exchange for scrapping the Coverdell account.

While contribution limits are expected to remain untouched, the country is still facing a retirement crisis, one expert says.

Experts say 18-to-36-year-olds should take advantage of workplace 401(k) and Roth IRA tax benefits now and shop around for the best savings rates later.

One option for clients to consider is municipal bonds, which offer tax-free yields.