It can get you quite a ways but I prefer to avoid that home office expense. If you have a tax lawyer helping you with it you are probably good. The thing I am saying though, is that I do all that without being incorporated at all. However, I have very few assets so this may not be for everyone. S corporation status helps you separate business and personal assets if this is a concern.
Dana On Mon, 16 Jun 2003 10:46:22 -0400, Haggerty, Mike <[EMAIL PROTECTED]> wrote: > Only pay yourself a nominal salary of $1 a year to avoid the taxation > penalties. Have the corporation pay the cost of the lease for your car, > rental space for your office in your home, your health insurance, day > care, > tuition, business meals, cell phone, DSL, equipment and software > purchases, > etc. Use Quickbooks extensively to record all income and receipts, and > see > how far it gets you. > > M > > -----Original Message----- > From: Dana Tierney [mailto:[EMAIL PROTECTED] Sent: Monday, June 16, > 2003 10:39 AM > To: CF-Community > Subject: Re: Home Business was(RE: Microsoft ActionPack Subscription > (with > cou pon....)) > > > There are very few benefits to incorporation for a small business. First > of all the corporate veil does you little good. Then (unless this changed > under Bush) all income from the business will be taxed twice, once at the > corporate level, then again as income to you. One advantage is that you > can go public and sell shares. I would say chapter S all the way. > > On how to handle business income, even small, you need to file -- hmmm I > think it is a schedule C? not in front of me -- and a 1040. Definitely a > schedule SE for the additional social security tax. All of this assumes > that your business made a profit. > > HTH > Dana > > On Mon, 16 Jun 2003 10:06:49 -0400, Candace Cottrell > <[EMAIL PROTECTED]> wrote: > >> I was wondering about this as well. >> I do some sites on the side, but just add the $$ ( a very small amt) to >> my gross income. I emailed the IRS and they didnt give me too definitive >> an answer. >> >> Candace K. Cottrell, Web Developer The Children's Medical Center One >> Children's Plaza Dayton, OH 45404 937-641-4293 >> http://www.childrensdayton.org >> >> [EMAIL PROTECTED] >> >>>>> [EMAIL PROTECTED] 6/16/2003 9:54:08 AM >>> >> I have been operating my side/contracting business as Terminal-Fusion >> for several years now, but never actually went the legal route. Always >> just >> tack what ever I make on to the top of my base income come taxt time. >> >> What are the benifits of becoming incorperated? >> >> Tim >> >>> -----Original Message----- >>> From: Raymond Camden [SMTP:[EMAIL PROTECTED] Sent: Monday, >>> June 16, 2003 9:54 AM >>> To: CF-Community >>> Subject: RE: Home Business was(RE: Microsoft ActionPack >> Subscription >>> (with cou pon....)) >>> >>> > I am wondering, did any of you ever take the time to set up > an >>> actual company? How difficult is it? I was thinking sub > chapter s? >>> > >>> >>> I thought I _had_ to. I just used my name as my business (same thing >> I >>> did when I bought a computer via Dell using their Small Business >>> prices). I should have named my company Vandelay Industries. ;) >>> >>> -ray >>> >>> >> >> > > ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~| Archives: http://www.houseoffusion.com/cf_lists/index.cfm?forumid=5 Subscription: http://www.houseoffusion.com/cf_lists/index.cfm?method=subscribe&forumid=5 Get the mailserver that powers this list at http://www.coolfusion.com Unsubscribe: http://www.houseoffusion.com/cf_lists/unsubscribe.cfm?user=89.70.5
