CPA WITH BUSINESS TAX AND PERSONAL TAX 1.5
If you work in the medical field, you have scrubbed some type of particular clothing. You can use that. If you have a specialized shoes or something, if you have to stand a lot in your job, you can write off those types of items. But clothing is a very restricted item. A lot of people, let’s say a real estate agent, they have to dress professional. I want to write off these. You don’t get to deduct those. The code does not allow that. It has an alternative purpose. It’s thrown out. But you can write off the maintenance on them. You can write off the dry cleaning on them. So there are some regular expenses that I can pick up. Uh, meals is a really easy thing to pick up. Um, and for those that aren’t aware, it used to be meals and entertainment. You might be used to hearing that, but from 2018 forward, uh, you don’t get to deduct the entertainment as a business expense anymore when it comes to Trust Attorney Las Vegas.
I had a bunch of people wanting to write off some of these fees for getting Raiders seats and tickets. Those things are not going to be deductible for business. The meal part is if you’re out socializing network, um, if you’re going out, let’s say you’re at an event, maybe you go to a hockey game, but you’re there with uh, maybe a bank contact that you have or maybe a potential client that you’re trying to pick up. You can’t write off the event, but any meals or drinks that you pay while you’re there are deductible. So I really like people to brainstorm in the space of what are these things I’m normally spending on your Trust Attorney Las Vegas. And a test I give people is just take one month of your bank account, your credit card and go through it and say, what in the hairs even remotely related to business.
Send me an email. I’ll tell you what is what isn’t. I’ll just go down the list. Yes, no, it’s two seconds of my time and you’re not going through 12 months worth of stuff for the best Trust Attorney Las Vegas. Nobody wants to do that. Just take one month to a simple exercise, but let’s find that that low lying fruit. What are the things that you’re regularly spending on? Um, technology is a really easy space to use for business. Uh, phones, cameras, iPods, laptops, uh, your internet fees at your house. Most things nowadays are done through the technology and you’ll be able to take a write off on those types of things without it being too aggressive, really easy space to work
on that point, I would say easy test is, you know, would a fortune 500 company pay for this for an employee? I think that’s a good level test for you because if the business isn’t going to pay for that for an employee, if they can’t deduct it off the company return. And so you just kind of think about, okay, would my employer, if I was working for somebody else, would they pay for that for me? And I think that’s a really easy way for you to know whether you can write it off to get Trust Attorney Las Vegas.
It’s a really easy test. Good litmus test. So, um, other items that I tell people to think about, and this is where I’m going to talk about home office, I’m gonna put some quotations in there. You can’t see, you don’t have to use the home office deduction to do that. Things that are related to a home office in your business. So if you have a space in your home and you’re furnishing it, maybe with computer screens, maybe a really large TV, but you’re using it as your computer screen, a desk, maybe a chair or a couch, something in that space. And that’s where you go to do the work for your business for the nicest Trust Attorney Las Vegas. Whether it’s online research, sending out invoices, doing some some bank work, if that’s the space that you use for work, those items you can write off through your business. So when you’re going to home Depot and doing some repairs or you’re painting a room or you’re redoing the floor, consider if that’s the room that you use for your office. You want to try to find those types of expenses to deduct. That’s the, that’s the area of space. I want people thinking now this taken too far is you read it, the floor, my whole house, I want to write all of it off. No, that’s too aggressive. But if you’re doing one space and it can be the space you use for work, think of those home expenses that you’re spending on which ones of those can you pick up. There’s a lot of times that you can run those through your business.
I liked that. The philosophy of, Hey, let’s look at what we’re already spending on. We don’t need to spend more money to save 20 S, you know, spend a dollar to save 20 cents in taxes. I think that’s a wrong strategy, but let’s look at what we’re already spending on, see if we can get any of that money back with Trust Attorney Las Vegas. Um, just one brief thing that I, that I see from my perspective as a, an attorney, um, is people don’t know about that they can pay their kids. I think that’s one easy one. If you’re, you know, if you own your own business, what you can do to pay your kids and help basically have money show up on their tax return cause they pay a much lower rate than you do. Um, so if you could touch on that briefly.
Awesome. And this is one where you need to trusted advisors because there’s a tax strategy I use here, but it also requires a particular incorporation. Um, and so I work with Blake on that part. Anybody that has, let’s say an S corporation and they’re making good money and we’ve already done the process to put all the expenses that we can in and they’re still having this net profit and hopefully it’s a large net profit that uses Trust Attorney Las Vegas.