What can one deduct from taxes as biz expense?

[Survivor]

I don't think I prepare myself well enough for taxes.

I want to be as aggressive in deductions as is legally allowable. I really don't want to try to deduct anything that will not stand in an audit.

Cell phones?
Home line?
Gas? If so, how much do you say is for business?
Licensing training?
Exam sitting fee?
Licensing fee?
Work clothes?
Are these legit?
Anything else?

 

[senior-advisor-indiana]

Work clothes do not count unless they have the company name on them. I use mileage instead of gas because it agives me a bigger deduction. Also any food reciepts and biz cards or any biz supplies. You need to have kids too. lol

 

[Survivor]

Thanks for the reply.

How do you deduct your mileage? Do you just keep record of the miles driven to appointments and what not?

Those food receipts.... How strict is the IRS on that? If I deduct a lot of costs for food, are they going to ask for some sort of documentation that when I went to Hardees I was between appointments and not just going to grab a bite with friends?

 

[arnguy]

I suggest that you take a look at IRS Publication 535 which you can access from the IRS website, irs.gov. It gives you an in depth discussion. Also, you should check your local library for books on the subject. Barnes & Noble, Borders and other bookstores carry books on the subject written by J.K. Lasser and others. In addition you may wish to "google' the subject---there are some good websites offering tax information.

 

[CHUMPS FROM OXFORD]

I have been using TurboTax for the last three years. I love it.

I had always done my own taxes until TurboTax. But the money I spend now is well worth it. It walks you through virtually every possible scenario.

 

[Pre-Paid Legal]

I write off all dinner and drinks. Have never had a problem with sirloin stockade receipts. My clients love that place. I am just trying to figure out if the tab at the gentleman's club should be filed.After all they are my clients.

 

[arnguy]

PPL, be careful. There are a lot of guys that would love to drop a dime on you.

 

[WBunch]

I don't think I prepare myself well enough for taxes.

I want to be as aggressive in deductions as is legally allowable. I really don't want to try to deduct anything that will not stand in an audit.

Cell phones?
Home line?
Gas? If so, how much do you say is for business?
Licensing training?
Exam sitting fee?
Licensing fee?
Work clothes?
Are these legit?
Anything else?

Well cell phone you would have to figure out percentage of business calls every month. Home line as long as it is strictly for business only which means you must have 2 lines for it fly past an audit.
Gas--I prefer to do milage it is a better deduction. Log all miles in a book when you are driving for business, make sure to document where you are going also.
Licensing training, and fees--Deductible
Work clothes--Only if you have embroidered shirts
As far as food goes, for it to be audit proof, the reciept must have the person and and general idea of what was discussed, (i.e. client meeting, retirement plans, etc.). The only things that you cannot deduct are certain parts of NAIFA dues and money contributed to Company PACs(Political Action Committees).

 

[Pre-Paid Legal]

Oh I give the girls more than a dime. So if they are a client is this considered rebating.

PPL, be careful. There are a lot of guys that would love to drop a dime on you.

 

[Survivor]

Pre-Paid I really wish you would take a hike.