If you ever travel away from home on business, my new article makes “must” reading. Why? Because if you know how to play the business-travel deductions game, you can save a ton of money. Want to learn when you can deduct business-travel meals and lodging, and how to turn “personal days” into “business days”? You’ll get this information and a lot more when you read my new … [Read more...]
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When it’s smart to ignore the tax law
Don’t get me wrong! I’m very much in favor of following the tax law to the letter. But there is one section of the law that you shouldn’t take seriously. It’s the part that gives you the impression that saving your receipts isn’t always necessary. While the law may not always require receipt-keeping, Uncle Sam always requires proof. And if you don’t have receipts, you’ll … [Read more...]
How to protect your home-office deduction
Your home office can provide you with a valuable tax deduction if you comply with all the IRS’s rules and regulations. However, if you work at your company office as well as at home, you could be putting your home-office deduction at risk. How can you work at both locations and still protect your home-office deduction? Easy! All you have to do is take advantage of the … [Read more...]
How to deduct tax losses if your business fails
You started a new business with enthusiasm and hoped it would succeed. You worked hard and gave it your best shot. But things don’t always work out. Your business may fail, and that’s when the IRS may tell you that the “hobby loss rules apply.” This means you’re going to lose some and perhaps all of your tax deductions for this failed business. But don’t give up hope! If … [Read more...]
How to survive an IRS rental properties audit
I recently heard from a reader of the Tax Reduction Letter asking for advice. It seems that an IRS auditor had examined the couple’s three rental properties, disallowed their losses, and told them to expect a tax bill for $55,000! My reader asked if there was anything he and his wife could do to successfully challenge the IRS ruling and avoid paying the $55,000. It turned … [Read more...]