Wacky Tax Deductions
Unusual Tax Deductions Generate Unexpected Income
People have successfully claimed some pretty zany deductions, and in the interests of lightening up the dry topic of preparing taxes, we 'd like to examine the lighter side of business and tax planning by covering some of these deductions. Of course, there is a point to reviewing these wacky deductions -- you’ll get a better of idea of how the IRS applies tax law to your tax claims. You can deduct those claims that the IRS allows and even those claims that haven 't been tested in court if they 're legitimate and necessary in your business.
People want to fly under the radar with their tax strategies -- taxpayers don 't want to risk triggering an audit or getting charged …show more content…
Of course that figure rises substantially if you earn more than $100,000 and take questionable deductions. That 's why it 's comforting to know what unusual expenses taxpayers have successfully deducted previously.
Successful Offbeat Deductions Inspire Taxpayers
Deducting legitimate expenses is at the heart of business strategy whether you earn millions of dollars or just a few thousand bucks. If you take friends to a game and discuss business, you can deduct all the costs that relate to promoting your business. If you claim a medical expense as a business deduction, it helps to get a note from your doctor that explains why the expense is justified and necessary, but you can deduct personal medical expenses as business deductions.
People forfeit valuable deductions when planning their business and tax strategies by not thinking outside the box.
However, too much creativity could result in a tax audit or legal prosecution for filing a frivolous …show more content…
The lawyer must have had a good tax advisor because she won her case when the deductions were challenged in tax court.[1]
Dog Days of Doggy Deductions
You can deduct the costs of feeding and caring for a Doberman pinscher guard dog as a business expense because this breed is often used for that purpose. However, you can only deduct a percentage of those costs for the hours when the dog protects your business and inventory. You can 't deduct the cost of buying the dog unless you breed and sell dogs. You 'd also have trouble deducting expenses for your pet Chihuahua as a guard dog no matter how fierce it is.[2]
You can deduct the costs of moving expenses for your pets if you change jobs and meet certain tests. In these cases, it doesn 't matter if your pet is a German shepherd, Pekingese or a boa constrictor that could swallow them all -- moving the pet is considered the same as moving your other personal
Unusual Tax Deductions Generate Unexpected Income
People have successfully claimed some pretty zany deductions, and in the interests of lightening up the dry topic of preparing taxes, we 'd like to examine the lighter side of business and tax planning by covering some of these deductions. Of course, there is a point to reviewing these wacky deductions -- you’ll get a better of idea of how the IRS applies tax law to your tax claims. You can deduct those claims that the IRS allows and even those claims that haven 't been tested in court if they 're legitimate and necessary in your business.
People want to fly under the radar with their tax strategies -- taxpayers don 't want to risk triggering an audit or getting charged …show more content…
Of course that figure rises substantially if you earn more than $100,000 and take questionable deductions. That 's why it 's comforting to know what unusual expenses taxpayers have successfully deducted previously.
Successful Offbeat Deductions Inspire Taxpayers
Deducting legitimate expenses is at the heart of business strategy whether you earn millions of dollars or just a few thousand bucks. If you take friends to a game and discuss business, you can deduct all the costs that relate to promoting your business. If you claim a medical expense as a business deduction, it helps to get a note from your doctor that explains why the expense is justified and necessary, but you can deduct personal medical expenses as business deductions.
People forfeit valuable deductions when planning their business and tax strategies by not thinking outside the box.
However, too much creativity could result in a tax audit or legal prosecution for filing a frivolous …show more content…
The lawyer must have had a good tax advisor because she won her case when the deductions were challenged in tax court.[1]
Dog Days of Doggy Deductions
You can deduct the costs of feeding and caring for a Doberman pinscher guard dog as a business expense because this breed is often used for that purpose. However, you can only deduct a percentage of those costs for the hours when the dog protects your business and inventory. You can 't deduct the cost of buying the dog unless you breed and sell dogs. You 'd also have trouble deducting expenses for your pet Chihuahua as a guard dog no matter how fierce it is.[2]
You can deduct the costs of moving expenses for your pets if you change jobs and meet certain tests. In these cases, it doesn 't matter if your pet is a German shepherd, Pekingese or a boa constrictor that could swallow them all -- moving the pet is considered the same as moving your other personal