> For the complete documentation index, see [llms.txt](https://docs.filed.com/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.filed.com/reference/products/ai-tax-planning.md). # AI Tax Planning ## What AI Tax Planning does AI Tax Planning reads a client's finalized tax return and produces forward-looking tax strategies with estimated savings. Where AI Review finds errors in a draft, AI Tax Planning looks ahead and surfaces opportunities to present during a planning conversation. * Each strategy cites the specific figures on the return that make it applicable. * Savings estimates are calculated from arithmetic on the return's actual numbers, not guessed. * Strategies are grouped by planning domain and sorted by estimated savings. * The plan also includes a written narrative overview and a built-in advisor chat aware of the strategies and underlying return data. ## What kinds of strategies it surfaces The planning domains vary by entity type. The AI surfaces only strategies the return's facts support, and stays silent on domains the data does not support. **Individuals (Form 1040):** retirement contributions and Roth conversions; investment gain and loss timing; equity compensation; charitable giving vehicles; real estate depreciation and deferral; business-owner deductions; health and medical accounts; education funding; income timing and bracket management; credits and incentives; family and dependent planning; Social Security claiming strategy; estate and gift considerations. **Business entities (Form 1120-S, 1065, 1120, 1041):** reasonable compensation; the QBI and pass-through deduction; basis and loss limitations; distributions management; retirement plan design; SALT workarounds; exit and succession planning; entity structure; R\&D credits. **Tax-exempt organizations (Form 990):** unrelated business income considerations and related compliance planning. ## Before you run AI Tax Planning * AI Tax Planning analyzes a finalized return, not a draft. Fully prepare the return before triggering a plan. * It does not run automatically after AI Review; trigger it separately from the client's page. * The richer the return (more schedules, K-1s, and supporting forms), the more domains the advisor can evaluate. ## Running AI Tax Planning **Walkthrough: run AI Tax Planning** 1. Open **AI Tax Planning** from the client hub. On the single-step **Upload the final 1040 return** screen, add the finalized return PDF via the drop zone or **Browse files**, then click **Start tax planning**. ![AI Tax Planning: upload the finalized return](https://storage.googleapis.com/filed-prod-public-assets/walkthroughs/ai-tax-planning/image1.webp) 2. AI Tax Planning analyzes the return and shows an in-progress loader ("Building your tax plan") while it finds planning strategies. This usually takes a few minutes and updates automatically when ready. ![The AI Tax Planning in-progress loader](https://storage.googleapis.com/filed-prod-public-assets/walkthroughs/ai-tax-planning/image2.webp) 3. When the run completes, the plan appears with the savings band and the strategy cards sorted by estimated savings (see [Reading the tax plan](#reading-the-tax-plan)). ## Reading the tax plan When the plan is ready, the page shows the client name, tax year, and strategy count, followed by: * **Savings band** - estimated savings broken down by horizon (This year, Multi-year, Lifetime, Event-driven), so the total opportunity is visible without combining figures from different time frames. * **Global narrative** - a summary of the key opportunities. * **Strategy cards** - sorted by estimated savings. Savings figures are computed from arithmetic on the return's actual numbers. The calculation behind each figure is verifiable and shown on the card in a dedicated Calculations section. ### Understanding savings horizons Each strategy is tagged with one of four savings horizons: * **This year** - A one-time or current-year benefit. For example, an HSA contribution made before the filing deadline. * **Multi-year** - A benefit that recurs over several years. For example, adjusting withholding or accelerating depreciation on a recurring asset. * **Lifetime** - A benefit that applies indefinitely. For example, optimizing Social Security claiming age or restructuring required minimum distributions. * **Event-driven** - A benefit triggered by a future transaction, such as a business sale, property disposition, or stock option exercise. Savings figures are never summed across horizons. A lifetime benefit and a current-year benefit represent different types of value and cannot be meaningfully added together. ## Working through strategy cards Each card shows the strategy title, estimated savings figure, savings horizon badge, and planning domain badge. If a dollar amount cannot be computed from the return, the savings field shows a dash with a tooltip explaining why. Expanding a card reveals: * **Applicability** - The specific facts from the return that make this strategy relevant to this client. * **Implementation plan** - An ordered list of steps to act on the strategy. * **Document references** - Source documents cited as evidence. Clicking a reference opens that document in the binder. * **Calculations** - The arithmetic behind the savings figure, shown as a verifiable formula. Appears only when a dollar estimate is present. * **Assumptions** - Any conditions or caveats the estimate depends on. ### Selecting and dismissing strategies Each strategy is in one of three states: * **Proposed** (default) - No action has been taken yet. * **Selected** - The firm intends to pursue this strategy with the client. * **Dismissed** - The strategy is not applicable or not being pursued for this client. Use the Select and Dismiss buttons to record the firm's decision; a dismissed strategy can be restored at any time. Selections and dismissals persist across re-runs by domain and strategy identity, so a previously selected or dismissed strategy retains its status when a new plan is generated. ## Using the advisor chat The plan includes a built-in advisor chat that knows the client's plan, the full set of strategies, and the underlying return data. Use it to ask follow-up questions, request client-facing summaries, explore edge cases, probe a strategy's assumptions, or ask how strategies interact. ## Re-running AI Tax Planning Re-run when a revised or amended return becomes available, or when planning for a new tax year. Each run is stored in the sidebar history. Selections and dismissals carry forward by domain and strategy identity, preserving the firm's working decisions. ## Video walk-through {% embed url="" %} ## Generating a client-facing report Once the firm has selected the strategies it intends to pursue, click **Generate Report** and choose a format: PDF, PowerPoint, or Word. The PowerPoint output can carry your firm's branding. Set this up once through the **Customize** icon and it applies to every report generated afterwards; there is no need to re-brand each time. ## Best practices * **Prepare the return first.** A finalized return with all schedules, K-1s and supporting forms gives the advisor more domains to evaluate. A thin or draft return produces a thin plan. * **Send the prior-year return as well as the current one.** Strategies that depend on year-over-year change need both to be present. * **Exclude documents that should not inform the plan.** Click **Re-trigger** to open the document list, clear anything that should not be considered, and send the remaining set back for analysis. * **Re-analyze rather than starting over** when new documents arrive. Selections and dismissals carry forward, so the firm's existing decisions are preserved. * **Add your own strategies.** The **Customize** icon allows firm-authored strategies alongside the AI-generated ones, so house playbooks sit in the same plan. * **Reference a specific strategy in the advisor chat** using the `@` symbol. This scopes a follow-up question to that strategy instead of the whole plan. ## Which return types are supported AI Tax Planning supports: * **Form 1040** - individuals * **Form 1120-S** - S corporations * **Form 1065** - partnerships * **Form 1120** - C corporations * **Form 1041** - trusts and estates * **Form 990** - tax-exempt organizations The planning domains and strategy vocabulary differ by entity type; the AI selects the appropriate domain set automatically based on the client's configured return type. --- # Agent Instructions This documentation is published with GitBook. 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