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Fucking Tax Season For Home Studios (poll)

Discussion in 'Bar' started by brianhood, Mar 1, 2016.

?

Do You Pay Income Taxes From Home Studio Income?

  1. Yes, and I'm 100% honest with them

  2. Yes, but I fudge the numbers a bit (less than 25% innacurate)

  3. Yes, but I fudge the numbers a LOT (more than 25% innacurate)

  4. No, not a fucking dime.

  5. What home studio income?

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  1. brianhood

    brianhood No Care Ever

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    The dreaded tax season has arrived, so I wrote a (hopefully helpful) article about how I handle taxes for my home studio.

    http://blog.456recordings.com/recording-studio-taxes/

    Whether you pay taxes for your production work or not, this is worth checking out. I cover a few good reasons to be legit with your taxes from day 1, how the IRS can straight up fistfuck you if necessary, and my step-by-step method for tax prep.

    If anyone has feedback about things you think I left out or parts I should change, let me know!

    I also made an anonymous poll to see if home studios generally pay taxes or not...be honest!
     
  2. JeffTD

    JeffTD Senhor Testiculo

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    Where's the option for operating the studio at a loss (read: lots of gear writeoffs) to reduce your actual W2 income?
     
  3. brianhood

    brianhood No Care Ever

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    I wish that was a thing haha. I'm sure it would help a ton of people doing audio as a side hustle.
     
  4. egan.

    egan. daylightdies.com

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    It's definitely real. Schedule C and line 12 of the 1040.
     
    JeffTD likes this.
  5. The StabbinCabin

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    Thanks for this. In the process of getting my shit together and going through bank statements highlighting and dropping it into Excell. Unfortunately for me, these last two years are going to have to be written off as a loss.

    Been a while since I've been on here. New layout is cool.
     
  6. JeffTD

    JeffTD Senhor Testiculo

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    This, it's totally a thing but you can only do it for 2/3 years or they tell you to stop classifying your hobby as a business.

    *Edit* double-checked, If you can't show profit in 3 of 5 years they classify it as a 'hobby business' and you can't use schedule c losses to offset wage income.
     
  7. brianhood

    brianhood No Care Ever

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    Damn, that's great to know! I'll be sure to spread the word on that, as it wasn't something I was aware of.
     

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