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Recent Business Deductions questions

We started an animal sanctuary in 2015 that is under the

we started an animal sanctuary in 2015 that is under the umbrella of a fiscal sponsor as a non profit. the fiscal sponsor rep says we will benefit more from counting our fiscal contributions as business expenses instead of charitable contributions. is this true?Also, we file separately and use different accounts to pay for these ongoing services and supplies. if we count as business expenses, can we both use deductions, or just one of us...not for the same expenses. though we use different accounts, both our names are ***** ***** as personal acts. they are not setup as business acts; The fiscal sponsor says it is not allowed to have separate bank act for the sanctuary.I know we will need a schedule c...i have a private counseling practice, so only 1099s and private pay. husband works for the state as employee, and would need to file schedule c, also, if allowed to yake some deductions, correct?

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Lane

JD, MBA, CFP, CRPS

Doctoral Degree

17,158 satisfied customers
If I rent out my home via airbnb for $8,000 a month months,

If I rent out my home via airbnb for $8,000 a month for three months, and I acquire a temporary residence for those three months and pay $2,000 per month for that temporary residence, is this $2,000 per month expense deductible as it relates to this $8,000 per month in income?

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Robin D.

Vocational, Technical or Trade School

20,894 satisfied customers
I am going through a short sale in az. It has been approved

Hi i am going through a short sale in az. It has been approved and the remaining debt was forgiven. At the title company I signed a its form 1099-s when I was reading it over at home. I notice I checked the section that say the house has never been used for business or rental. I do sell items on eBay and claim it on my taxes. I have in the past claimed my house as storage for my business deductions. Does this count as my home being used for business on the 1099-s?

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emc011075

Tax advisor and Enrolled Agent

Bachelor's Degree

3,954 satisfied customers
In Canada, as an only owner of a corporation that does about

In Canada, as an only owner of a corporation that does about 600k in revenue, and paying myself 80k per year, what is the most tax effective way for me to withdraw 25k from the business for my own purposes?

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Lane

JD, MBA, CFP, CRPS

Doctoral Degree

17,158 satisfied customers
Would it be worth itemizing and increasing deductions on my

Would it be worth itemizing and increasing deductions on my paycheck for this year?I have been filing standard.This year...I bought a car 3 months ago... $14,800.. 2.4% loanClosing on a house before Aug. 1... sometime in July... $141,300... 3% loan....Should I just wait till next year to adjust my deductions on my paycheck?I made $39,800 last year

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Lev

Retired

Bachelor's Degree Equivalent

24,192 satisfied customers
I have a CA LLC, single member. There has been no activity

Hello, I have a CA LLC, single member. There has been no activity in the business other than costs associated with start-up, and product development. I am considering shutting the venture down in August 2016. I have about $17000 of raw materials in inventory. My question is, if I simply dispose of the inventory (throw it away) what if any percentage of the "loss" will I be able to deduct. My personal income outside of the zero revenue LLC is $80000. thank you. Daniel

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Barbara

Enrolled Agent, Paralegal

4,982 satisfied customers
I am the sole owner of an LLC that is taxed as an S Corp. I

I am the sole owner of an LLC that is taxed as an S Corp. I also have a solo 401K and I want to make sure that I understand the process for contributing to my 401K while maximizing the contribution.I am over 55 so catchup contribution applies.My understanding is that getting $140K in W-2 wages from the LLC is the magic number so that that the maximum 401K contribution can be achieved. This breaks down as follows. I can have the 1st $24K deducted from my wages as a deferred elective 401K contribution in pretax dollars. This shrinks my taxable wages to $116K.I can have $35K = $140K X 25% contributed as a non-elective contribution.Assuming the above is correct, what I do not understand is where does the $35K come from. Does it come from me as an individual in after tax dollars from the $116 that I am getting in wages or does it come from the profits of the LLC?If from the LLC that I guess the LLC would need to have at least $175K cash = $140K + $35K in order for this scenario to work. Is this correct?Lastly, how is all of this reflected on my W-2 and K-1 of the LLC? Assume for the moment that the LLC has income of $250K for the calendar year.

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Lane

JD, MBA, CFP, CRPS

Doctoral Degree

17,158 satisfied customers
I've carefully gone over my tax situation with a consultant

I've carefully gone over my tax situation with a consultant and did some calculations some calculations on my own, with the percentages and numbers provided to me by just answer.comNow I feel comfortable about what to expect, filing taxes this year with the IRS. However, I still have a few more follow-up questions if you don't mind helping me:To my last conversation I was basically told that 0.153% is used for self-employment tax and basically .25% is what to spec on the net income...

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Lev

Retired

Bachelor's Degree Equivalent

24,192 satisfied customers
I am a self employed sales broker and work from my home.

I am a self employed sales broker and work from my home. I have an office which is approximately 600 square feet. I also store product samples (for presentations) and historical business files in my basement. I measured that space and it is about 400 square feet. My house is 5,000 square feet. Do I get to use 20% (1,000 of 5,000). The samples take up half of the 400 square feet. They are only for demonstration purposes and not for sale. Thanks for your help.

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Mark Anderson

Attorney

Doctoral Degree

476 satisfied customers
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