Tax FAQ Series: Are business & personal taxes the same?
The Tax Code allows you to report business activity on your personal return using a Schedule C or on a separate business return. Either way you’re providing a “Business” return. When you use a Schedule C there are significant limitations on deductions and a greatly increased audit risk. For those reasons, we strongly recommend using a separate business return to report the business activity. The ability to reduce the tax liability is greatly improved and the audit risk is also much lower.
If you have additional questions about how to approach your tax filing, contact us at (480) 888-7111 to schedule your free phone or in-house consultation today!
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