rfehr613
New Member

Deductions & credits

Thanks for the reply. 

 

What difference does it make where the donation deduction comes from?  Its all part of the same pot, no?  I don't file anything separately from personal income.  And are businesses not allowed to donate items and write them off on taxes?  These would all be donation in the capacity of a business, since Amazon wants to call Vine membership a "business" for tax purposes.

 

Regarding the other deductions for Vine reviews, I understand that I can deduct a portion of household expenses, as we already do that for my wife who works from home.  I assume it works in much the same way for Vine (a flat percentage based on office SF:total SF).  But for equipment purchased, what exactly is meant by "might have difficult"?  Would the IRS deny a tax filing on the spot, or are you only talking about in case of an audit?  I understand that logic and reason says that an expense exceeding the cost of the items being tested doesn't make sense, but who defines the parameters?  If I were just starting up a conventional business, I might have high initial out of pocket expenses that far exceed revenue generated.  Would those expenses not be deductible simply due to their magnitude?   That does not sound correct to me.