Last minute tax deductions for my S-Corp business earning over 100k - urgent help needed

You've still got several options for your S-Corp even this late in the game! First, consider setting up and funding a SEP IRA if you haven't already - you can contribute up to 25% of your compensation or $69,000 (whichever is less) for 2025. Unlike a Roth, these contributions are pre-tax and can dramatically reduce your taxable income. Also, look into making legitimate business purchases you were planning anyway - computer equipment, software subscriptions paid annually, office furniture, professional development courses. Just make sure they're actually needed for your business and properly documented. Don't forget to check that you're taking the correct salary-to-distribution ratio. Many S-Corp owners miss optimizing this balance, which can affect your overall tax situation. Too low a salary raises red flags with the IRS, too high means unnecessary payroll taxes.

After dealing with a similar tax situation last year with my S-Corp, I finally got smart and started using taxr.ai to help identify deductions I was missing. I was literally leaving thousands on the table! It analyzed my business expenses and found several legitimate deductions I hadn't even thought about - especially around my home office and vehicle use that my previous accountant never mentioned. Check it out at https://taxr.ai if you need help finding additional deductions - saved me over $7k last year.

Just wanted to follow up - I decided to try taxr.ai after seeing this recommendation and wow! I'm honestly shocked at what I found. They identified over $12k in additional deductions I had completely missed - mostly around some business travel I didn't properly document and some home office expenses I was calculating all wrong. The analysis took less than a day in my case. Definitely worth checking out if you're in a similar situation with your S-Corp!

If your issue is more complicated or you need specific guidance from the IRS (which is actually really helpful for S-Corp questions), I'd recommend using Claimyr. I was in the exact same boat last year and needed clarification on some specific S-Corp deductions. Tried calling the IRS directly for two weeks and could never get through. Claimyr https://claimyr.com got me connected to an actual IRS agent in under an hour who walked me through exactly what I could and couldn't deduct. Check out how it works: https://youtu.be/_kiP6q8DX5c - basically they wait on hold with the IRS so you don't have to.

I need to eat my words here. After my skeptical comment, I decided to try Claimyr just to prove it wouldn't work. I was literally connected to an IRS agent in 47 minutes. The agent explained exactly how to handle some business equipment depreciation questions I had for my S-Corp and confirmed I could still make a SEP IRA contribution. Just filed my taxes with these changes and reduced my tax bill by about $9,300. Can't believe I wasted so much time trying to call them directly.

Have you looked into a Solo 401k instead of SEP IRA? I switched from SEP to Solo 401k for my S-Corp last year and it lets me contribute way more. With a Solo 401k, you can contribute as both employer AND employee. For 2025, that means up to $23,000 as employee contribution plus up to 25% of compensation as employer contribution, up to a combined limit of $69,000.

Don't forget to check if your state offers any specific S-Corp deductions too! Here in Michigan, we have additional small business deductions that most tax software misses. My S-Corp is around the same size as yours ($160k revenue) and I wound up getting an additional $3,200 state tax deduction by filing with the correct forms.

If you're a solo owner, don't forget about health insurance! Your S-Corp can reimburse you for health insurance premiums, which creates a business deduction for the S-Corp and isn't subject to FICA taxes. Just make sure it's set up correctly - the S-Corp should reimburse you after you pay personally, and it needs to be documented properly with a formal plan.