The theory here is simple: Income you don't receive until after midnight on New Year's Eve isn't taxed until the following year. Even if you'll be in the same tax bracket, you win by putting off the tax bill by an entire year.
It's tough for employees to postpone wage and salary income. You can't ask your employer to hang on to your December paycheck until January; nor do you push income into the next year by not cashing your check until then. Income is taxable in the year it is "constructively received." Basically, that means the year you could have had the money if you wanted it.
Assume, for example, that in December your boss offers you a choice of receiving a Christmas bonus in December or the following January. Regardless of which you choose, the IRS will expect you to report and pay tax on the income with your return for the year the offer was made. If standard practice in your company is to pay year-end bonuses the following year, however, the income would be taxed in the year you get the check.
If you are self-employed or do freelance or consulting work in addition to a job, you have more leeway, assuming you use the cash basis of accounting. Delaying billings until late December, for example, can assure you that you won't receive payment until the next year. If you are pressing for payment on an overdue account, it might make sense to give your tardy client a breather. Business considerations certainly come first. But if it's unlikely you have anything to lose by holding off on collections, doing so can push some taxable income into the following year.
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