🎃 Spooky Tax Surprises to Avoid

October is the season for pumpkins and haunted houses — but unexpected tax bills are the real fright. Whether you’re an individual taxpayer or a small business owner, here are some common scares to avoid before year-end.

👻 For Individuals

• 💀 Missing Estimated Payments
  If you’re self-employed or have investment income, skipping quarterly payments can result in penalties.

• 🦇 Forgetting Retirement Contributions
  Missing the deadline to fund your IRA, 401(k), or SEP means losing valuable deductions and tax-deferred growth.

• 🎁 Last-Minute Charitable Giving
  Thoughtful planning (like donating appreciated stock or using a donor-advised fund) saves more than a rushed December cash gift.

• 🕷️ Overlooking Health Savings Accounts & FSAs
  Use-it-or-lose-it rules may apply. Don’t let leftover funds vanish like a ghost on January 1.

🧟‍♂️ For Business Owners

• 🧾 1099 Contractor Reporting
  Missing W-9s or scrambling in January is a nightmare. Track vendor payments now to meet the January 31 deadline.

• 👀 Neglecting Payroll & Reasonable Compensation
  S-Corp owners must ensure their salary is “reasonable.” Waiting until the last minute can invite IRS scrutiny.

• 🕸️ Ignoring Year-End Expenses & Timing
  Strategically prepaying expenses or deferring income can help reduce your 2025 tax bill.

• 🧟 State & Local Tax Surprises
  From NYC’s extra taxes to state sales tax filings, compliance mistakes can rise from the grave when you least expect them.

Don’t Let Taxes Haunt You

With proactive planning, you can keep the tricks out of your finances and focus on the treats.

👉 Book a Tax Planning meeting with NotchBooks today to banish your tax fears.