Comments on: Tax Shelters for Small Business Owners (Part 2) http://www.bankaholic.com/finance/tax-shelters-for-small-business-owners-part-2/ Blogging about personal finance and economic policy Wed, 08 Feb 2012 15:02:04 +0000 http://wordpress.org/?v=2.9.2 hourly 1 By: John Francisco http://www.bankaholic.com/finance/tax-shelters-for-small-business-owners-part-2/comment-page-1/#comment-31474 John Francisco Wed, 08 Sep 2010 19:07:41 +0000 http://www.bankaholic.com/finance/tax-shelters-for-small-business-owners-part-2/#comment-31474 People worry too much about "sheltering your income" and not enough time focused on justifying your business expenses. Most smart business owners determine ways they can move expenses they would normally pay out of pocket (out of income) to business expenses. For example, can you have the company lease you your car. Even if you use it for personal reasons, you significant reduce the cost to you by carefully "tracking" your usage. Instead of after-tax dollars --- you use pre-tax dollars. That's money!! Another area is travel, meals, and entertainment. Track them carefully and you can have them count to business expenses. That includes mobile phones, computers, educational expenses, etc. if you want to have some real fun, have your wife join the business. Then, have those babysitting fees, and day care services covered. Want to get complicated...have the business purchase your property and lease it back to you. Just don't have your home as the only lease. So much more...and get a great tax attorney. People worry too much about “sheltering your income” and not enough time focused on justifying your business expenses. Most smart business owners determine ways they can move expenses they would normally pay out of pocket (out of income) to business expenses. For example, can you have the company lease you your car. Even if you use it for personal reasons, you significant reduce the cost to you by carefully “tracking” your usage. Instead of after-tax dollars — you use pre-tax dollars. That’s money!!

Another area is travel, meals, and entertainment. Track them carefully and you can have them count to business expenses. That includes mobile phones, computers, educational expenses, etc.

if you want to have some real fun, have your wife join the business. Then, have those babysitting fees, and day care services covered.

Want to get complicated…have the business purchase your property and lease it back to you. Just don’t have your home as the only lease.

So much more…and get a great tax attorney.

]]> By: Sean Goss http://www.bankaholic.com/finance/tax-shelters-for-small-business-owners-part-2/comment-page-1/#comment-2673 Sean Goss Thu, 10 Jul 2008 08:12:10 +0000 http://www.bankaholic.com/finance/tax-shelters-for-small-business-owners-part-2/#comment-2673 The home office deduction is a contentious one. Most home office expenses are deductible, but get rejected by many tax authorities since the business owner has no documentary proof. Retain every expense slip, for your taxes, to derive maximum benefit from this tax! The home office deduction is a contentious one. Most home office expenses are deductible, but get rejected by many tax authorities since the business owner has no documentary proof. Retain every expense slip, for your taxes, to derive maximum benefit from this tax!

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