No Mortgage, No Deduction: How We're Penalized for Being Debt-Free

[Kathytnt]

My hubby just informated me that unless I have over $6600 in deductions for my business then I won't be able to deduct my business expenses. We do not itemize because we do not have a mortgage or pay interest. We pay cash and have not debt. Kind of disappointing that being smart with your money ends up biting you sometimes

 

[ChefAlicia]

I think you need some help!!!!!You do not need to itemize to write off your PC income and expenses.
Your income and expenses for your PC business go on Form Schedule
C and do not show up with your deductions for itemizing.

Any further questions please ask I do income taxes and PC.

Alicia:

 

[Admin Greg]

.I understand your frustration. It can be discouraging when being financially responsible and debt-free means missing out on certain tax deductions. However, it's important to remember that the goal of being debt-free is ultimately to have more financial freedom and security in the long run. And there are still plenty of ways to save on taxes, such as contributing to retirement accounts or charitable donations. Keep up the good work with your finances and know that it will pay off in the long term.