What About Home Business Tax Deductions
It’s that time of year again and the tax man come calling. Home business tax deductions are critical part of network marketing. When a person is new to the home based business arena, it is easy to overlook some of the benefits that we enjoy as tax write-offs in the way of expenses for your business.
If you have just started you network marketing business within the last year, it is good to get a good accounting program to track all your expenses and revenue with. The one thing as marketer’s we need to do, is to keep accurate records and keep them up to date. Keeping your records up to date will save a lot of wasted time when it comes to finding all those put aside receipts for the year.
“Home Business Tax Deductions”
Keeping your records up to date
There are many accounting programs and software available for you to keep track of your business records. Some are extremely easy to learn to use, while I have found that others are not so user friendly and even an accountant will have some trouble figuring out them out.
Accounting programs from a simple bank account check book software program to corporate style accounting with payroll and tax tables can be found, depending on the status of your own network marketing business.
Home Based Business Tax Deductions
I like user friendly Accounting Software
I like to use Quickbooks Pro. It offers easy to use drop down lists for every category and field that you will need, and is very easy to understand. But the best part is the drop down calendars that allow entry for receipts from past dates that have somehow mysteriously appeared after months of being missing.
The one thing we enjoy in this industry is to be able to write off those home business tax deductions that are business related to your business. But these receipts need to be legitimate business expenses. The one thing you do not want to do is to get into trouble with the tax man. Everyone tries to resist paying taxes, but in business, it is a necessary evil that will bite you in the end if not dealt with properly. Just saying! An umbrella company is a good solution as they will find a perfect invoicing arm for your business.
Tax Write Offs – Fining Those Lost Receipts
So here’s the thing! Where are all those receipts that have mysteriously disappeared, yet you know they are there somewhere? You put them away for safekeeping, to be found at a later date when you had more time to enter them into your computer. (Speaking from experience).
You’ve checked in all the familiar places and found some scrunched up papers that looked like they have been run over by a semi, half faded and hard to read, but with a little more light, you are able to make out just enough of the print to find the date and amount.
Remember that warmer coat you wore during the winter? Check the pockets, maybe there are some papers in the pockets that are still there now that it has been getting warmer out and you haven’t wore that coat for a couple of months.
And then there is the glove compartment in the car where papers seem to be jammed in for safe keeping. Especially when your spouse finds gas receipts on the dashboard and decides it is time to house clean the car, so things get put away on the spur of the moment, only to turn up a year later when they are outdated.
Home Business Tax Deductions
Treat Your Home Business as a Business
Your home based network marketing business is just that, a business, and needs to be treated as such. Your business has expenses just like any small business or corporate business, and it is allowed write-offs in a similar matter.
If you are unsure of all the legalities of home business tax deductions, it is best to check with an accountant which is familiar with the home based business industry and have your taxes done professionally. This can save you paying taxes you may be able to avoid paying if you are doing your own income tax and are unfamiliar with business tax laws. Financial help for veterans is available.
If you have not yet started a home based business and you would like to get involved with making money online, a good place to start is with an affiliate based training system like My Lead System Pro. Here you will have training on how to market your business as well as get paid through the system to cover your expenses while learning the strategies of marketing.
Remember, any home based business is just that, a business, and needs to be treated as such. Enjoying home business tax deductions allows you as an entrepreneur the same opportunity to keep all the money possible, just like big business.