Don't cheat yourself. Use a tax pro.

June,

I always find your expertise invaluable!

I recently got beat in an audit and I know I really did not get beat I just did not know how to represent myself so the end result is I lost.

I do have another question, last yr I had to leave the area for over a yr. I lived in an extended stay to the tune of about 2800.00 a month on top of that I had my normal expenses for supporting my home in another state as well as living expenses in extended stay like groceries and occasional eating out. Should these items be on a Schedule 'C' or is there somewhere else it would be best to show these expenses?

Mark


Hi Mark,

Based on your question, I gather that you prepare your own tax return. I assume that means that you faced the audit on your own. I see that you have been a follower of mine since 2008 so I'm sure you know that I think most indies should not prepare their own tax returns. Help with an audit is another reason to use a tax pro.

As to your question: All business expenses for a self-employed must go on the Schedule C. Your question shows me that you don't know a whole lot about indie tax returns. My guess would be that if you're like most indies -- you try to be legitimate with your tax return and you are probably cheating yourself. I am really pushing you to at least check out an indie savvy tax pro.

BTW -- before you start writing off all the expenses you mention above be sure to read these posts: expenses -- travel and temporary worksite .

Best,
June