If I am starting a business from my home office deductions the first year
If i start a business from my home office and during the first year do not bring in revenue as I am building a internet website can I deduct part of the cost of my business expenses like part ...
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Zoey Wen CPA
Hi there, yes absolutely! Take a look at this answer on a similar question related to home office expenses: https://askexper.com/question/how-can-i-account-for- ... Read more
Can I deduct my monthly booth rent if I’m a barber as a business expense?
Hey My name is Juan I’m a barber I work at a barber shop that someone else owns I pay them a booth rent every month to be able to cut hair at this shop I file taxes as self ...
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Liz King, CPA CPA
You can definitely deduct the rent you pay for your chair as a barber. Rent is any amount you pay for the use of property you do not own. In general, you can de ... Read more
Can a business owner write off any personal medical expenses or health insurance?
Business owner is using medical expenses as a business expense in lieu of health insurance but I don't think they can personally write off either. Can they write of any of these sort of expenses for themselves?
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Theladycpa CPA
Hi unfortunately no they can not write off insurance premiums or actual medical expenses on the business books. Now if your client wants to track these expenses ... Read more
Is reimbursement an expense or an income to the contractor?
Hi,
I am pretty confused about the reimbursements. If a business owner who pays a contractor for regular work, pays a separate check for a reimbursement, does that reimbursement count as the contractor's income? Or the business owner record that reimbursement ...
Is the lease of clean beam uv light units used for sanitization within hotels subject to sales tax in NYC?
It's a new division for a client which they just happened to start leasing uv light units. Most of the hotels are in NYC area, 1 in NJ and 1 in CT. This is a PA based company which its ...
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KYLE FRONK, CPA CPA
You'll need to do a comprehensive nexus analysis to determine the thresholds for each state and city you are operating in to determine your sales tax liability ... Read more
Can I deduct line of credit?
I refinanced my house, if I have money left over can I use it on something else and still deduct all the interest expense?
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Theladycpa CPA
Hi there in 2017 the tax law changed, the home equity line of credit referred to as HELOC interest can only be deducted if the funds are used for renovations, w ... Read more
Can I take a business office deduction my tax return for 50% of the room if I use half of the room for business and half for personal
I've read some people saying yes others no. Can you provide an official IRS or revenue code link confirming your advice. Thank You!
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Theladycpa CPA
Hi there I provided an answer to a similar question on how to calculate the business deduction for use of your home here: https://askexper.com/question/how-can- ... Read more
What is the best practice to record initial deposit paid against vehicle purchase?
One of my clients recently paid an initial deposit of $100 against vehicle purchase, Should I record it as an advance to Supplier/Vendor initially, and at the time of delivery I need to record Fixed Asset (Vehicle) and deduct the ...
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Theladycpa CPA
Deposits in most cases are non-refundable. When your client pays the deposit you can record the amount as an "other asset". If by chance the deal falls through ... Read more
Health Insurance
A client wants to start offering to cover 100% of health insurance for employees, are there any tax laws that would not allow the company to write off 100% of the cost?
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Theladycpa CPA
Hi health insurance coverage paid for by the employer for the employees is 100% deductible as a business expense. There are not any laws that I am aware of that ... Read more
Catering still 50% off?
Client held an event and catered food for said event. Is the entire catering bill deductible or only 50%. This was a marketing event to get new clients.
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Theladycpa CPA
Hi there, meals for marketing purposes are 100% deductible. Any meals or recreational expenses for advertising and promotional reasons, office snacks provided t ... Read more