The Motley Fool Discussion Boards
Financial Planning / Tax Strategies
|Subject: Re: Sub Chapter S Corp & DOG food deductions?||Date: 5/18/2001 1:30 PM|
|Author: pcguys||Number: 51071 of 119673|
"Personal expenses will never be deducted from wages. They will appear as a non-deductible expense of the corporation. For instance, if you have business income of $10,000 and business expense of $8,000 [including wages], and personal expenses of $1,000 in your Sub S corp, you will report $2,000 income from the Sub S corp, in addition to whatever you took as salary."
Thanks for the reply.
Why would personal expenses ever show up for the corporation (deductable or not)?
If $8,000 of the expenses included $5,000 of wages, shouldn't the $1,000 in personal dog food expenses be invisible to the corp? Wouldn't it just come out of wages, at the personal level?
Many thanks for your thoughts on this.
|Copyright 1996-2013 trademark and the "Fool" logo is a trademark of The Motley Fool, Inc. Contact Us|