By: Amanda Wilson
April 15th is usually greeted with dread as tax day. However, April 15th also offers an important tax planning opportunity for partners in partnerships (including limited liability companies that are treated as partnerships for federal income tax purposes). The tax rules allow partners to amend their partnership agreement retroactively to January 1 of the prior year if the amendment is in place by April 15th. If your business has a partnership, this might be a great opportunity for you. You should take a moment to look at how your partnership is allocating taxable income and losses to the partners in 2013 and make changes if a different allocation would work better for your partnership. Act fast, though, because unlike the due date for filing your return, this deadline cannot be extended.
