nikonshooter Loc: Spartanburg, South Carolina

When, not if, the IRS ask me how in this world can I justify taking the cost of Astronomy Gear as a business deduction. Well, I will print out this picture! Hope they buy it!

(Download)

ggttc Loc: TN

Well done. I'll put in a good word with the IRS...

Europa Loc: West Hills, CA

😂

SonnyE Loc: Communist California, USA

Well, the only time you have to justify your deductions is in the case of an audit.

Or, as I like to say, Anything's legal until you get caught.

rgrenaderphoto Loc: Hollywood, CA

The answer, from someone who was audited in 2000 when self employed, is not quite that simple.

IRS regulations allow small business to enjoy a "safe harbor" of 5 years of losses before a profit has to be shown. During that time, business expenses can be deducted on Schedule C as long as you do not go crazy. You can deduct a portion of your camera gear purchases over a multi year depreciation, costs for trips if exclusively for the business (don't go to Europe and deduct the entire cost of the trip as a "business expense," that could cause an audit flag. Anything exaggerated can raise a flag.

Also, do not bother with a home office deduction, unless you have a full time photo studio in your home. Deducting for home office before my business showed a profit is what got me audited in the first place. And, if you ever sell your home, you have to give back the $$ you deducted for the H.O. from the cost of your home sale.

You can, however, claim a mileage deduction for the percentage of your travel that is business related. Or the cost of your internet connection that is business related. Lots of opportunites.

nikonshooter Loc: Spartanburg, South Carolina

_________________________

You are totally correct. I actually posted that a little "tongue in cheek".

SonnyE Loc: Communist California, USA

Me too.