Legal tax writeoffs can save an online home business owner between $3000 - $6000 each year. That's $300 to $500 each month...of your own money that you get to keep...in your own pocket. However, many online home business owners continue to overpay their taxes each year simply because they fail to take the tax writeoffs they are entitled to.
Here is why:
They Think They Are Illegal
The main times people hear about tax writeoffs is when some high-rolling corporate types get nailed scamming the United States Government. These criminals try to exploit gray areas of the tax code, or use elaborate schemes to establish phony deductions. Normal people read about this nonsense and associate the words "tax writeoffs" with the word "illegal."
Online home business owners who make money with Google AdSense and affiliate sales end up missing out on keeping a huge amount of money that they simple overpay.
They Think They Do Not Run A "Real" Business
For some reason, people who are just starting an online home business, and even those who are making money in one do not see themselves as having a "real" business since they function in a digital world. They think you have to be the Avon lady or the vitamin guy going door-to-door...the guy pulling a flat-trailer full of lawn equipment...or a be a physician or an attorney...to have a "real" business.
If you run your business with the intent to make a profit, and you are doing everything you can to drive traffic to your site and generate sales, you are running a REAL business.
They Are Too Lazy To Document Their Expenses and Business Activities
You would not believe how many people say, "I don't want to spend the time documenting what I spend each day." This is just pure laziness. If cannot take 6-10 minutes out of your day to write in a qualified expense journal what you purchased (a new computer?) or where you met a contact (at a restaurant) to discuss a profit strategy for your online home business...you deserve to toss away $5000 or so dollars.
Many Online Business Owners Just Don't Know
As crazy as that seems, many guys think only about the creative and profit-making side of their online business. They never read in other areas that could save them boatloads of money, they never take a course at a junior college, they never think to ask their tax professional for some recommended reading about the legal tax writeoffs they are entitled to.
Hint: Your tax professional usually will NOT bring up the idea of legal tax writeoffs because he does not want to get into a three-hour discussion (answering a bunch of questions) or open the door for a client to continually call him and ask even more questions.
If you are running an online home business, or even a home business such as network marketing...if you are making money (even pennies per day) with AdSense, or making money selling affiliate products...or even if you are just starting out, you need to educate yourself about the legal tax writeoffs that can save you $1000's of dollars each year.
No comments:
Post a Comment