Right after filing season, the last thing most clients want to revisit is their tax return. That’s exactly why it’s a good time to do it. A return is a detailed map of a client’s income, assets and planning gaps, and reviewing it early gives you the rest of the year to act.
Key takeaways
- A client’s tax return shows income sources, business ownership, retirement distributions and taxable savings, all of which point to planning needs.
- Reviewing returns in spring leaves time to act, rather than scrambling after New Year’s when few options remain.
- Carrier tax-return review materials and CPA relationships can make the process more focused and generate referrals.
Left to themselves, clients will wait until after New Year’s to ask how to cut this year’s taxes, when there’s little left you can do.
Why spring is the right time
Most clients call about taxes in December or January, when the only remaining moves may be a qualified plan contribution or two. Reviewing last year’s return soon after filing flips that timing. You have the full year to recommend changes and implement them.
What to look for on a return
- Business income (Schedule C, Schedule E or K-1s): signals a business owner who may need key person coverage, buy-sell funding or an executive benefit plan.
- Taxable interest and dividends: money sitting in taxable accounts that may be better positioned for growth, liquidity or legacy goals.
- IRA and pension distributions: clients taking required minimum distributions they don’t need may want to redirect them. See using RMDs in life insurance sales.
- Charitable deductions: a sign of charitable intent that could support gifting or legacy strategies.
- Dependents: a reminder to check that income replacement and education funding are covered.
Tools and partners that help
Several carriers offer materials that walk through a client’s return line by line, with commentary on planning opportunities and suggested next steps. Ask us what’s currently available. These materials also work well with CPAs, who can use them to review the returns of clients they might refer to you for planning help.
Stay in your lane
Your role is to identify opportunities, not to prepare returns or give tax advice. Frame findings as questions for the client and their tax professional. That approach builds trust with both the client and the CPA and tends to produce more referrals over time.
Frequently asked questions
Why should financial advisors review client tax returns?
Returns reveal income sources, business ownership, retirement distributions, taxable savings and charitable giving. Each can point to planning needs such as life insurance, business succession or retirement income strategies.
When is the best time to review a client’s tax return?
Soon after it’s filed in the spring. That leaves the rest of the year to implement changes, rather than waiting until the end of the year when few options remain.
Can I give tax advice from a client’s return?
No. Advisors should identify opportunities and raise questions, then coordinate with the client’s CPA or tax professional for tax advice and preparation.
Reviewed by Tim Fuller on 2026-09-26
Tim Fuller
President, SRS Inc.
Tim leads SRS Inc., a full-service IMO (Independent Marketing Organization) and BGA (Brokerage General Agency), connecting independent financial professionals with life, annuity, disability income, and long-term care solutions from 60+ carrier partners.
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