Categories: Mind & Soul

Don’t Fall for These 12 Common Tax Myths

MYTH: CLAIMING A HOME OFFICE IS AN AUTOMATIC AUDIT

Nope. There is no such thing as an automatic audit. There’s no way to game the system to avoid one, either. Fraudulently claiming a home office, very high self-employment income, or taking more business deductions than income from self-employment are red flags, though.

And there are a few scenarios that might trigger an audit: major changes in income or charitable giving, missing forms or files or numbers that don’t add up, claiming business expenses for a hobby, and having an overseas bank account or foreign assets. The best way to avoid an audit is to be careful and honest about deductions.

Page: 1 2 3 4 5 6 7 8 9 10 11 12 13

smartlivingtips

View Comments

Recent Posts

12 Everyday Things That Are Way Too Expensive

How much would you be willing to pay for a pencil? Toothpaste? A litter box…

5 years ago

10 Most Relaxing Paint Color Ideas According to an Interior Designer

You know that pouring yourself a hot cup of tea, listening to your favorite low-key…

5 years ago

Ready for These 10 Important 2021 Tax Changes?

Thankfully, every year we get a little heads up as to what to expect in…

5 years ago

12 Out of the Box Money-saving Tips You Need to Try!

There are, arguably, a ton of ways to save money out there. From depositing pennies…

5 years ago

20 Things from the ’90s That Are Worth a Fortune Today

You might want to check out your old baseball cards or sift through those boxes…

5 years ago

The 25 safest American cities to live in

Crime levels have declined sharply in the US over the past two decades. According to…

5 years ago