J.K. Lasser's Small Business Taxes 2018

CHAPTER 24 Income and Deduction Strategies

1. Tax-Saving Tips
2. Audit-Proofing Your Return
3. Common Errors and How to Avoid Them
4. Tax Assistance

Alert

At the time this book was completed, Congress was considering important tax changes that could affect 2017 tax returns and planning for 2018. Check the online Supplement in February 2018 at www.jklasser.com or www.barbaraweltman.com to see what changes have been enacted and when they are effective.

Understanding what income you must report and the various business deductions you may claim is only half the job. You must also know when to report income and when to postpone it, when to claim certain deductions and when not to claim them. You should also be aware of the common traps that business owners often fall into with their income and deductions so you can audit-proof your return to the extent possible.

Tax planning is always a complicated matter, but especially so during an environment of potential tax reform. Will tax rates be lower (which reduces the value of deductions), and when? Will deduction and credits now available be eliminated? When this book went to press, these questions were unanswered. Check the Supplement for any update. Finally, it is important to recognize that you should not always go at it alone. You may need to get the assistance of tax professionals or additional information from the IRS. You need to know how to obtain referrals to tax professionals. You also need to know some important IRS telephone ...