This channel has become one of my favorites thus far! The information you provide is amazing. Makes me mad to know our CPA wasn’t helping us out the way we could have.
Hi Sherman, so glad I found your channel! New subbie here! Question: I have had a trading business (LLC) and reported losses 3 years in a row already. 2023 will be year 4 of showing a loss. (I'm just now starting to make money after finding my edge and know that 2024 will be a profitable year!) But I heard that after 3 years of losses, the IRS deems your business a "hobby" instead of a business and will disallow your deductions. Do you know if that's true? Is reporting losses 4 years in a row a bad thing in the IRS's eyes? 👀
Thank you! And awesome. How you take the home office deduction depends on your entity structure. In most cases, only S corporations or C corporations have to reimburse for home office expenses through an “accountable plan”. Other entities are able to calculate this deduction at tax time. Also, keep in mind that the “Augusta Strategy” is different from the home office deduction and would require payments from your business account.
You forgot something very important. As soon as you get a business receipt, scan it and save it in the cloud. Google drive or drop box are great. It happened to me that I bought supplies, but the store used cheap ink for their receipts. When I wanted to record the amounts a few months later, the ink had faded and was unreadable. Also, don't buy supplies from businesses that don't have their name printed on the receipt, or where the products are not clearly listed on the receipt. There is no way of telling what was bought and what it was bought for.
One thing people don't understand is that when you have a business you bear the burden of having expenses. If you're a w2 employee your employer buys the printer. You keep your money and use their printer. If you write off all your income with expenses you have no money left so of course you have no taxes. It's simple math. $10k of income minus $10k of expenses equals $0 left.
Easily my favorite channel I’ve learned so much in the last few weeks
Me too!! Love this channel
Thank you for this
Amazing 🤩 as always ❤❤❤
This is Gold!!!
I like the style of presentation, well articulated, clear and slowly and with supporting image artifacts. Thanks !
Thank you 🙏🏽
Thank you so much for all the hard work you put into making this video. This channel is my favorite for any business related content. Thanks 🙏
I'm so happy to hear that. Thank you!
This channel has become one of my favorites thus far! The information you provide is amazing. Makes me mad to know our CPA wasn’t helping us out the way we could have.
Hi Sherman, so glad I found your channel! New subbie here! Question: I have had a trading business (LLC) and reported losses 3 years in a row already. 2023 will be year 4 of showing a loss. (I'm just now starting to make money after finding my edge and know that 2024 will be a profitable year!) But I heard that after 3 years of losses, the IRS deems your business a "hobby" instead of a business and will disallow your deductions. Do you know if that's true? Is reporting losses 4 years in a row a bad thing in the IRS's eyes? 👀
I love ur channel. I just opened my business account! Do I need to pay rent from business account if I want to write off home office?
Thank you! And awesome. How you take the home office deduction depends on your entity structure. In most cases, only S corporations or C corporations have to reimburse for home office expenses through an “accountable plan”. Other entities are able to calculate this deduction at tax time. Also, keep in mind that the “Augusta Strategy” is different from the home office deduction and would require payments from your business account.
What are the conditions to be considered as a side hustle? For example if I work remotely for a company as a 1099 employee?
Yes, primarily 1099 income and business income would qualify.
You forgot something very important. As soon as you get a business receipt, scan it and save it in the cloud. Google drive or drop box are great. It happened to me that I bought supplies, but the store used cheap ink for their receipts. When I wanted to record the amounts a few months later, the ink had faded and was unreadable.
Also, don't buy supplies from businesses that don't have their name printed on the receipt, or where the products are not clearly listed on the receipt. There is no way of telling what was bought and what it was bought for.
One thing people don't understand is that when you have a business you bear the burden of having expenses. If you're a w2 employee your employer buys the printer. You keep your money and use their printer. If you write off all your income with expenses you have no money left so of course you have no taxes. It's simple math. $10k of income minus $10k of expenses equals $0 left.
Sure, but you also have unlimited earnings potential as a business owner.
@@mycpacoach definitely. And with those earnings comes taxes and not just write offs.
Asking for a friend what if you got caught up with life and haven’t filed anything you earned over the last 3 years 😅
Play catch up and ask the IRS to forgive your penalties.
Quick question I owe 2300 from 2022 Irs sent a letter to take property for it is that true? 😂
It sounds like it may be true - they can certainly put a lien on your property.
This is easy😂 don't report any returns