E-Biz

[TruthInSatire]

I will soon be launching a website that will be bringing in some extra money. I'm the only person involved in this endevor. My question is what do i need to do to ease the taxes i'm going to have to pay?

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[chiph]

Speak to an accountant.

If you do happen to turn a profit, you can reduce your tax liability by expensing some of the business costs. If you're running at a loss, you probably don't want to do this (although there are some reasons why you might still want to). Your accountant will clue you in.

Chip H.


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[chelseatech]

Robert Kiousaki in his Rich Dad, Poor Dad book said the difference between a businessman and the others is...
The Others earn some money, the tax takes his share and they get to spend what's left.
A businessman earns some money, spends as much as he can and the tax man gets a share of whats left.

Either way the tax man gets a share. So put some of whatever you earn in a separate bank account. So when the tax man calls, you've some to give him.

Editor and Publisher of Crystal Clear

http://www.chelseatech.co.nz/pubs.htm

 

[sleipnir214]

As chiph has said, to legitimately minimize your tax burden, you should consult an accountant or tax attorney.

If you are in the US, there are even options for a home business that include reducing your tax burden by applying a portion of some household expenses to your business. But to qualify for the expenses, you have to fulfil some physical plant requirements.


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[Rich13]

The advice to speak with a tax expert is the right answer. I also suggest that you clarify IN ADVANCE the fees that the professional will charge. Ideally, you'll hook up with an adviser who will under-charge for the initial start-up with the hope of keeping your business in the future. You should also ask the adviser about his/her experience representing clients like yourself, ask for references, then check the references. Make sure that you find someone who will be responsive to a small business. Good luck!

Rich