Friday, April 13, 2012

Audit This!


Last weekend, my family got together to celebrate my brother's birthday and I ended up spilling the beans on my deductible expenses. Everyone in the room counted those magic beans and literally accused me of being shady for deducting my rent since they thought I took a home office deduction, which has limitations.

No! I complied with Section 119 of the Internal Revenue Code, which states that all meals and lodging provided on company premises are considered exempt from individual income tax if they are provided for the convenience of the employer as a condition of employment and this and that. I think all legitimate day traders can arguably take this deduction too.

What's up with people being able to claim hobby expenses as legitimate business deductions and then turning around and calling the Fraidy Cat black?




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