Can I deduct expense of $1000.00 for my husband's book writing project, for photo permissions, in 2016 when we only received income in 2015 and 2017?

[janhernon]

Hub has contract for a book.  Received advance from publisher in 2015 and 2017.  Most of the work was done in 2016, and we paid $1000.00 for photo rights and had our home office.  How can we deduct this in 2016?

[AnnetteB]

Yes, you can include the expenses on Schedule C for your husband’s self-employed writing business.  Home office expenses for the writing business will also be included as part of Schedule C.  Then, use the same Schedule C for the 2017 tax return to claim the 2017 income and expenses.

Use the following steps to go to that section of your return:

• On the top row of the TurboTax online screen, click on Search (or for CD/downloaded TurboTax locate the search box in the upper right corner)

• This opens a box where you can type in “schedule c” (be sure to enter exactly as shown here) and click the magnifying glass (or for CD/downloaded TurboTax, click Find)

• The search results will give you an option to “Jump to schedule c”

• Click on the blue “Jump to schedule c” link