Write It Off! Deduct It!: The A-to-Z Guide to Tax Deductions for Home-Based Businesses

by Bernard B. Kamoroff

Overview

Are you paying more taxes than you have to?

There are more than nineteen million home-based businesses in the United States—56 percent of all businesses—and they generate $102 billion in annual revenue. As far as the IRS is concerned, a home business is no different than any other business. But there is a difference: not only can you deduct the business expenses that every business is entitled to, you can turn personal, nondeductible expenses into tax-deductible business expenses—if you are careful to follow the rules.

No tax software or accountant knows the details of your home-based business like you do, and the IRS is certainly not going to tell you about a deduction you failed to take. This invaluable book not only lists the individual items that are deductible in your home-based business—from utilities to that part of the home where you work—but also explains where to list them on your income tax forms.

Product Details

ISBN-13:	9781630760694
Publisher:	Taylor Trade Publishing
Publication date:	01/12/2015
Pages:	214
Product dimensions:	5.90(w) x 8.90(h) x 0.60(d)

About the Author

Bernard B. Kamoroff is a C.P.A. with thirty years of experience specializing in small business. He has authored five books on business and taxes, worked directly with hundreds of businesses, and given business workshops and seminars for such organizations as the University of Californiaand the American Booksellers Association. In addition, Kamoroff has also started and successfully operated three of his own small businesses. He lives in Willits, California.

Table of Contents

Preface: A Treasure Hunt ix

Introduction: The Home-Based Business xi

Chapter 1 Introduction to Tax Deductions 1

Relax 1

Who Is This Book For? 2

How to Use This Book to Your Best Advantage 2

Expense Category 4

Is Every Possible Tax Deduction Listed? 5

Isn't This What You Pay Your Accountant For? 5

Will Your Deductions Trigger an Audit? 6

When in Doubt, Deduct 8

Tax Loopholes and Tax Secrets 8

Federal vs. State Laws 9

"I Wish I Had This Book Last Year" (Amending Prior Years' Tax Returns) 9

Keeping Records 10

When Can You Take a Deduction? 11

Cash Method vs. Accrual Accounting 11

Year-End Payments 12

Structuring Transactions to Your Best Tax Advantage 12

Timing Transactions to Your Best Tax Advantage 13

Equipment, Supplies, and Inventory Owned Before Going into Business 14

Paying Business Expenses 14

Multiple Businesses 15

One Last Caution 15

Chapter 2 Terminology 17

Self-Employed Individuals 17

Employer/Employee 18

What Is a Tax Deduction? 18

Tax Write-Off 19

Personal vs. Business 19

Capitalized Expenses 20

Audits 20

Tax Credits vs. Tax Deductions 21

Chapter 3 The Four Basic Rules: All Expenses 23

Rule 1 Business Related 24

Rule 2 Ordinary Expenses 25

Rule 3 Necessary Expenses 25

Rule 4 Not Lavish or Extravagant 26

Chapter 4 475 Tax Deductions for Home-Based Businesses, A-Z 27

About the Author 201