You Can Use IRS Form 1040 as a Sales Tool

It’s that time of year – people are now gathering information to file their income tax returns. As you look at the IRS Form 1040, it’s amazing how many ideas you can use with your clients that are present from the information contained on this form.

For example:

• On line 6c, dependents are listed. Dependents may need to be protected in the event of a premature death of the parent
• Line 8 lists taxable interest earned. Perhaps there is a way to defer interest into the future, which will reduce current taxable income
• Line 12 lists business income
• Lines 28, 29, and 32 list contributions to various types of retirement plans. This indicates that the taxpayer has done some planning–but when was it last reviewed?
• Schedule A, line 10 lists mortgage interest paid. How will the mortgage be paid if something happens to the homeowner?
• Schedule A, lines 16 and 17 lists charitable gifts. Is there a need to continue these gifts after the death of the taxpayer?

The products that you can offer your clients and prospects can be helpful in:

• Deferring tax on the growth of cash value accounts
• Achieving retirement planning goals
• Assist in continuing a business for generations to come
• Protecting dependents from loss due to the premature death of a parent
• Providing cash to pay an existing mortgage