Tax planning & forecast

1. The real-time tax forecast

Go to Tax → Forecast. You'll see a live view of your projected federal + state liability for the current tax year, recalculated every time a transaction is classified, a deduction is added, or income is recognized.

A typical forecast breakdown:

The forecast updates within seconds of any change. Add a new deduction — watch total liability drop. Categorize a new income source — watch it rise. This is the feedback loop that makes tax planning actually happen throughout the year instead of at filing time.

2. The deduction simulator

The simulator lets you model the tax impact of a purchase, expense, or contribution before you make it. Open Tax → Simulator, and plug in:

• The purchase (e.g., "$68,000 SUV over 6,000 lbs GVWR")
• The depreciation method (§179, bonus, straight-line)
• The business use % (e.g., 85%)
• The tax year to apply the deduction

You'll see the incremental tax change immediately — "This purchase lowers your 2026 federal liability by $14,280 and pushes $3,500 of state liability into 2027." Compare up to 4 scenarios side-by-side.

3. §179 & §280F depreciation

HaraPro tracks depreciation automatically for every capitalizable asset — computers, vehicles, office furniture, equipment — with full compliance for §179 expensing, bonus depreciation, and the §280F luxury-auto limits.

Add an asset via Assets → New asset. Enter:

• Purchase date + price + financing structure
• Asset class (vehicle, computer, furniture, equipment, real estate improvement)
• Business use %
• Vehicle weight class (if applicable — triggers §280F logic)

HaraPro then calculates current-year deduction, future-year schedule, and flags any §280F limits or recapture risk. At tax time, this feeds directly into Schedule C, Form 4562, or Form 2106.

4. Retirement plans

For self-employed owners, the right retirement plan can shelter $30K–$300K+ per year. HaraPro models:

• Traditional IRA / Roth IRA — $7,000 limit ($8,000 if 50+)
• SEP IRA — up to 25% of compensation, capped at $70,000
• Solo 401(k) — $23,500 employee deferral + 25% employer match, up to $70,000 ($77,500 if 50+)
• Defined Benefit Plan — up to $280K+ for high earners over 45, actuarially determined
• Cash Balance Plan — hybrid DB plan, often stacked on top of a Solo 401(k)

Open Retirement → Model plans and HaraPro will show you max contribution limits and projected tax savings for each plan type, based on your income. If you have an existing plan, enter its details and contributions will flow into the forecast automatically.

5. Quarterly estimates

Self-employed and S-Corp owners must pay estimated taxes quarterly (April 15, June 15, September 15, January 15). Under-paying triggers IRS penalties.

Open Tax → Estimates. HaraPro shows your projected liability for the year, how much you've already paid (via W-2 withholding, 1099 withholding, and prior quarterly payments), and how much you owe for each remaining quarter.

HaraPro uses both the safe harbor method (100% of prior year, 110% if AGI > $150K) and the annualized income method — and tells you which is cheaper for your situation this quarter.

6. Tax calendar & alerts

The Tax Calendar shows every federal and state deadline relevant to your entity mix:

• Quarterly estimate due dates (Apr 15, Jun 15, Sep 15, Jan 15)
• S-Corp election (Form 2553) deadline
• Entity return filing dates (1120-S / 1065 on March 15; 1040 on April 15)
• K-1 issuance deadlines
• Retirement plan contribution deadlines (Solo 401(k), SEP, DB)
• Property tax dates for your state
• Franchise tax renewals by state

You get email alerts 14 and 3 days before each deadline. Custom alerts can be added.

7. IRS forms generation

Pro+ tiers can generate filled IRS forms directly from HaraPro. Go to Tax → Forms. Pick a form and HaraPro pre-fills from your bookkeeping data:

• Schedule C — Sole proprietor / single-member LLC
• Schedule E — Rental income, K-1 passthrough
• Schedule SE — Self-employment tax
• Form 4562 — Depreciation and amortization (with §179 worksheet)
• Form 8829 — Home office deduction
• Form 2106 — Employee business expenses (historical)

Generated PDFs are saved automatically to File Vault under the entity + tax year, so your filing record is preserved forever with version history.