As a business owner, the IRS does not allow you to manipulate your income by not entering all of your business expenses. You cannot just enter expenses until you get to the right income numbers for business. You are required to report ALL income and claim ALL expenses.
"A self-employed individual is required to report all income and deduct all expenses. Revenue Ruling 56-407, 1956-2 C.B. 564, deals with the issue of taxpayers not taking all allowable deductions in computing net earnings from self-employment for self-employment tax purposes. Rev. Rul. 56-407 held that under §1402(a), every taxpayer (with the exception of certain farm operators) must claim all allowable deductions in computing net earnings from self-employment for self-employment tax purposes". Earned Income, Self-employment Income and Business Expenses
You can however stop entering expenses as itemized deductions once they are no longer being counted or adding to your deduction because you have already wiped out all of your income and this does not manipulate your income in any way.
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