As the year wraps up, there’s still time to take advantage of smart tax strategies that can reduce your 2025 tax bill. Below are several last-minute moves to consider before December 31.

Not every strategy applies to everyone—but the right ones can make a meaningful impact.

1. Charitable Giving

Donations must be paid or charged by 12/31 to count for 2025. If you’re already planning to give, timing matters.

IRA owners: A Qualified Charitable Distribution (QCD) allows you to donate directly from your IRA without reporting the income—often helpful for keeping AGI lower.

2. Capital Gains & Loss Planning

• Tax-loss harvesting: Sell losing investments to offset gains.

• Tax-gain harvesting: If 2025 is a low-income year, you may qualify for lower (or even 0%) capital gains rates.

Crypto note: Crypto losses can still be harvested without wash-sale restrictions.

3. Medical Expenses

Medical expenses are deductible only once they exceed 7.5% of income. If you had large medical bills this year, paying them before year-end can help you cross that threshold.

4. Business Owners: Timing Matters

If you’re self-employed or run an LLC or S-corp:

• Consider making planned business purchases before 12/31

• Heavy SUVs used for business may still qualify for 100% bonus depreciation

• S-corp owners may be able to increase Solo 401(k) employer contributions with proper year-end planning

5. Gift Giving

You can gift up to $19,000 per person in 2025 without filing a gift tax return—as long as it’s done by year-end.

6. The Augusta Rule

• Business owners: Rent your home to your business (up to 14 days) for a legitimate business purpose and deduct the expense—without reporting rental income.

• Individuals: Renting your home for 14 days or less during the year is generally tax-free.

7. Roth Conversions & Opportunity Funds

Lower income in 2025 may open the door for:

• Strategic Roth IRA conversions at lower tax rates

• Deferring capital gains by reinvesting into a Qualified Opportunity Fund (QOF)

Final Thought

Year-end tax planning isn’t about scrambling in April—it’s about making intentional moves before December 31.

If any of these strategies sound relevant, it’s worth talking through them now while there’s still time to act.