Loose lips sink shipsThe blog title was used during world war II as a caution to American GI's not to divulge information which could be used by the opposing forces (if heard).
The phrase still applies today when considering your business affairs. In today's society, disgruntled people and those looking for an opportunity may take what you say to turn the information over for money. How? Well, they may report to the IRS what you say in order to receive an informer's reward for your unreported earnings on your tax return.
I am not condoning the omission of reporting taxable events on your tax return. I believe it's good for America that everyone pay their fair share on ALL their taxable income. I am saying that caution should be used when talking about money in all circumstances.
How can you lower your tax bill? Don't wait until the end of the year to meet with your tax professional. Set up a meeting for tax planning so you can structure your affairs to maximize your deductions and to take advantage of the tax laws. It will be money well spent.
I am a CPA in San Antonio and serve individuals and small businesses in San Antonio and surrounding areas.
Richard J. Garcia | 05/28/2010