HUGE Tax Deductions

HUGE Tax Deductions

February 28, 2005

U.S. Congress Has Approved Special HUGE Tax Deductions for
Home-Bases Businesses

Congress has approved a number of HUGE tax breaks to
stimulate the growth of small and home-based businesses,
including part-time businesses.

Approved tax breaks can be worth up to $3,000 to $5,000 or
more for the average home-business entrepreneur, even on
last year’s taxes. Here are the 6 EASY Steps to Qualifying
for these tax deductions:

1) Be operating a legitimate business, not just engaging in
a hobby and calling it a business. It can be an established
business, it can be your own start-up business, such as
freelance writing, personal coaching or consulting.

2) Conduct your business in a "business-like manner.
" Meet with customers and prospects in a business-meeting
type environment, not just during your lunch break or on
the golf course. Have an always-fresh list of leads and
prospects, and be consistently working your lists. Attend
business meetings and teleconferences with your managers
and leaders.

3) Work your business on a Regular and Consistent basis.
Working your business 45 to 60 minutes a day, 4 or 5 days a
week, meets this requirement better than working two random
10-hour days each month — even though the latter involves
more total hours.

4) Prove that you have Intent to produce a Profit.
Are you in business to produce a profit, or are you in
business to produce tax write-offs? Can you prove it to an
auditor's satisfaction? You do not have to make a profit in
order to claim huge business-related tax write-offs, but
you do need to prove that you have a plan to become
profitable, and that you are working your plan.

5) Be an expert in your business category OR be learning
from experts. If you are an affiliate with a marketing
company and you do not have any personal expertise
promoting the products or services offered by your company;
if you participate regularly in teleconference trainings,
attend training meetings, and go to conferences, you will
prove that you are "learning from experts."

Document:
(1) your Business Income
(2) your Business Expenses
(3) your Business Activity

Most home-business entrepreneurs understand parts (1) and
(2), but item (3) is often overlooked. But don't ignore it,
because it is related to all 5 of the items above. Easiest
way to do this?
Keep accurate notes in a daily calendar or day–planner.