Self employment Income and deductions

[Danimobrogdon]

My husband and I own a trucking company, I have a full time job with a higher income. Our equipment is in my husbands name and he is the driver. Does he claim the income and deductions on the business and equipment?

[rjs]

There are several ways to treat a business that is owned by a married couple. It depends on the type of business structure, and whether you live in a community property state.

Is your business a corporation (C corp or S corp), an LLC, a partnership, or none of those? Are you and your husband the only owners?

What state do you live in?

Do you plan to file a joint tax return?

You might want to consult a local tax professional or business lawyer, or both of those, to discuss what kind of business structure is best for you.

[dmertz]

If you both materially participate and are sole proprietors reporting on Schedule C (a qualified joint venture), you would each normally report income and expenses on a Schedule C in proportion to your individual ownership interest in the company.