AS WE TURN THE CALENDAR TO 2019, it is a good time of year to prioritize tax planning. Individuals are cash-basis filers, which means the taxable activities that occur during the calendar year are the items considered taxable income and tax deductions. Many closely held small businesses also file their tax returns on the cash basis. Cash-basis filers have some ability to determine their taxable income and, with proper planning, may be able to defer some income taxes from one year to the next.

One way to reduce your taxable income is to contribute to or increase your 401(k) withholding. If you find you have some extra money, increase your withholding election at work so you can get a few more dollars put into your plan. Each dollar you put in will be one less dollar on which you have to pay federal tax. As a bonus, your company may even match some portion of your dollar, giving you free money. If you do not have a retirement plan at work, begin to plan so you can make an IRA contribution and start putting that money to the side or into your account.

The new tax law made some big changes in the individual tax area. Standard deductions for individuals who are married and filing jointly increased to $24,000 — up from the 2017 amount of $13,000. Because of this increase, you’ll want to review your situation and may want to bunch your taxable deductions in one year so you get the most bang for your buck.

Businesses looking to trim their tax bills can continue to turn to the trusty standby strategy of deferring income into the next calendar year and accelerating deductions into this year. For example, toward the close of 2019, a business that uses cash-basis accounting might “slow roll” its invoices to push the receivables into the new year, or choose to prepay expenses. Notably, the new law greatly expanded eligibility for cash-basis accounting, making it generally available to businesses with three-year average annual gross receipts of $25 million or less.

Another interesting and good planning tool is gifting of assets to move them and future growth out of your estate. The estate and gift tax exemption doubled to $22.36 million for a married couple; this increase gives lots of planning opportunities to those who could use it.

For those of you who are business owners, make sure you maximize your Section 199A deductions (too involved to cover in this article). If your business has a year that shows a loss, keep in mind those losses are limited but can be carried over. They can no longer be carried back.

Remember, your final tax bill is not yet written, so take the time to do what you can to minimize your tax liability. Always speak with your tax professionals and allow them to guide you through the nuances of these monumental tax changes.

The content of this article is for informational purposes only. It is not intended to be a substitute for professional financial advice. Always seek the expertise of a certified financial advisor or other qualified provider with any questions you may have regarding personal finance, investment and money-related issues.