🛑 Pay Fewer Taxes! 🧾

Hey ,

There are 3 certainties in life; Death, taxes, and every Black Friday people killing each other over the new PlayStation in Best Buy.

In this email, I will share a few things that can be done to save on taxes.

This is the disclaimer I have to say; I’m not a tax expert by any means and do not use this email as tax advice. What I’m writing in this email is what I found to work based on my research.

Over the years, I’ve done my best to lower my taxes at the end of the year.

Making money is the fun part, but keeping it is the important part.

I’m here to show you a few different options that we as Amazon sellers have.

Buying inventory - As you know, buying more inventory doesn’t help, because that’s the same as having cash in the bank. In other words, inventory becomes an expense when it’s sold and not when it’s bought.

So what can you do?

Spend money now on services that will help you grow later.

Let’s take an example here - Let’s say you’ve made $100,000 in profit in 2022, and the taxes in your country are 20%. That means you’re about to pay $20,000 in taxes.

By adding more expenses this year, you pay fewer taxes. Let’s say you’ve spent at the end of 2022 $10,000 on graphic design, new images, and new videos, that means that your profit dropped to $90,000 and therefore pay $18,000 in taxes instead of the original $20,000.

When you think about it, there’s a variety of services you can pay for this year, to help you grow your business next year. I’m here to provide a few different services and tools that are tax deductible (you should consult with your tax advisor or accountant regardless):

1. SoStocked - Sign up for the yearly plan if you’re not on it already. This will save you an additional 20%. By going to this link, you will bring the price down even further and save over 30% in total. For example, if you have 5,000 orders a month, instead of paying $125 a month you’ll be paying $85 a month. Click here for more details. (make sure you choose the yearly plan)What is it? The best Inventory Management software out there at the moment.The possible expense and saving at least a few hundred dollars.

2. Data Dive & Inner Circle - Get 3 months free when signing up for Inner Circle for $1,250 off. That means you’ll pay $1,747 instead of the $2,999 for the Inner Circle and get Data Dive for free for 3 months. Click here to sign up.What is it? One of the strongest SEO tools out there, along with many new features coming out almost every week.$1,747 expense + $1,250 off + 3 months free for Data Dive. Sign up before Cyber Monday ends.

3. PickFu - Take advantage of their Black Friday promotion which is ongoing until Cyber Monday; Use this link to get 50% off your first poll and 10% off for any prepaid credit packages. For example, you can spend $5,000 now on prepaid credit packages, save $500 in the process, save on end-of-the-year taxes, and then next year use the money to run polls.What is it? One of the best tools for running polls and making better decisions.The possible expense of over $5,000 by loading the virtual wallet + a discount of 10% due to the Black Friday/Cyber Monday promotion.

4. Join Brands - Pay now by loading your virtual wallet and run promotions later - You get the first $30 free when clicking here.What is it? The new RebateKey/Elite Seller way to launch products, within TOS.The possible expense of over $5,000 by loading the virtual wallet.

5. AZRank - Pay now and run promotions next year. This is another service you can pay money upfront and spend it in different ways next year, either for new product launches or pushing existing products. Mention Top Dog or my name in your email for a special price on any of their services. Email Alina at: [email protected]What is it? A variety of services allow you to rank your products within TOS.The possible expense of over $5,000 on future orders + a discount.

6. PPC Agency / Software - Talk to whoever runs your PPC. Most of them would be happy to receive a downpayment from you and offer a discount at the same time. If you work with an agency, ask to pay 6 months in advance. They might also offer you a discount as a result. Most agencies/service provider businesses have cash flow issues, you help them avoid those or to grow their team further by paying upfront. One tool I recommend is Scale Insights, you can get 10% off here + 20% off on the yearly plan. You can test the tool on just one or two of your products during the first 30 days of the free trial.The possible expense of thousands of dollars + discount.

7. Other service providers - Pay in advance to your copywriter, graphic designer, and photographer, on future products and projects you’ll be doing with them next year. Again, they’ll probably thank you for it and offer a discount in the process.The possible expense of thousands of dollars + discount.

8. Travel & Events - Planning on going to Amazon events next year? Book your flights and hotel now. One event you might consider is Brandon Young’s first-ever CampEcom event taking place in January. You can get a $500 discount if you also sign up for the 1-year access to his Inner Circle. Click here to sign up.Possible deduction of thousands of dollars.

9. Donating money - This will depend on the country you have your business in and where you’re paying taxes, but most countries encourage donations with special tax deductions and other tax benefits. And, more importantly, you’re making the world a bit better in the process. Possible deduction of thousands of dollars + possible tax benefits.

10. Donating slow-moving products - When you invoice the charity organization you invoice based on the sale price and not on the cost of goods price. This way, in regards to taxes, it will be counted as a sale for the full price ;)Possible deduction of thousands of dollars.

Out of this list, there are others, such as Helium10, SellerBoard, Keepa, Getida, etc. I tried to list those that you’re probably not currently using or not on the yearly plan already, or don’t know you can get for a lower price than what you’re currently paying.

With all of these small tips, you might think:

“Yeah Tomer, but won’t I just pay for all of this tax next year?”

As long as these things help grow your business - You won’t. Taking the same examples from above, let’s say that instead of making a $100,000 profit you got it down to $75,000 by investing $25,000 in the growth of your business next year. This means that at a 20% tax rate, you’ll be paying $16,000 in taxes instead of the original $20,000, saving $4,000.

If you were about to spend the $25,000 regardless throughout next year, that’s money well spent to save another $4,000. On top of that, you're getting a significant discount by spending it during special promotions or by paying for 6-12 months in advance, which is probably at least another 10% ($2,500).You’ve just put a $6,500 total in your pocket.

Next year, you might grow from a $100,000 profit to a $300,000 profit, and do this process again to help you grow even further the following year.

With that,

Happy Thanksgiving,

Happy Black Friday,

Happy Cyber Monday,

Happy Friday,

Happy life,

Happy Hippo,

Tomer