For my business I would send out quarterly letters both mail and email. I know
that mail is expensive and not the best for the environment but I would want to
serve all my clients to the best of my abilities. I know that some individuals
like my parents do not do email. If my dad receives something in his work
email, he still prints it and brings it to my house for me to review with him. So,
to best serve all my personal tax clients, I would want to update them quarterly
on any changes that could affect their taxes or tax planning. It is also a good
way to remind them of important dates, like getting their tax information to me
by a certain deadline. I would also send out a different letter/email to my
business clients. While some of them may be interested in the personal tax
changes, they may have someone else handle that for them. I also know that
my personal tax clients are not going to be interested in business tax changes,
in theory at least. Some highlights I would make sure that everyone is aware of
is a deadline for filing, in case it is not the 15th of April. I would also include
the increase to IRA contribution maximums. The annual exclusion for gifts
increases to $17,000 for calendar year 2023, while the maximum credit
allowed for adoption expenses is $15,950 (IRS.gov, 2022). When creating a
letter/email for my business clients, I would maybe not include changes that
only affected manufacturing industry if I did not have any manufacturing
clients. While I hope to have a wide range of clients, if it will not affect any of
them, or only one or two, I probably would not include that information. Those
one or two clients I may write a personal email and make a call just to review
those changes with them specifically. I would also avoid going into detail on
everything, hit the highlights and then schedule a conference to go over the
more detailed technical parts. I want them to be aware that there are changes
but if the information is too wordy, they are going to ignore. A specific change
that I would not include for 2023 tax year would be something like the
Inflation Reduction Act that extended certain energy related tax breaks and
indexed for inflation of the energy efficient commercial buildings deduction
(IRS.gov, 2022). This is something that I feel very few of my personal clients
may be able to take advantage of. I also feel that if a business client can take
advantage of this, it would be something that I would talk to those clients
specifically about. While maybe not the most time efficient way, I would try to
make personal calls to review any questions they may have about the letter
also. I know this would not be possible to call every single client but the ones I
know are going to have major changes would be my number one targets.
IRS.gov. (December 8, 2022). IRS provides tax inflation adjustments for tax
year 2023. Retrieved a https://www.irs.gov/newsroom/irs-provides-tax-
inflation-adjustments-for-tax-year-2023
