If you are self published but marketing your book can you deduct your expenses as a business expense?
2007-07-31 05:33:12 · 4 answers · asked by Patrick B 3 in Business & Finance ➔ Taxes ➔ United States
most certainly, it's a legitimate business expense to try and sell your book.
2007-07-31 05:50:24 · answer #1 · answered by Anonymous · 0⤊ 1⤋
If the expense is directly related to your business of marketing your book, yes. You can even deduct some expenses of writing.
However, you cannot deduct what is not primarily a business expense. For example, a home computer cannot be deducted. To deduct a computer, it needs to be used primarily for writing and for marketing your book.
Keep in mind that you need to have a legit "business" (I don't doubt you do). If no one buys your book, it MIGHT turn into a hobby. In which case, there are other ways you can deduct.
2007-07-31 05:42:03 · answer #2 · answered by Jay 7 · 0⤊ 1⤋
yes, but ...
you also have to meet the test of reasonable profitability over longer periods. In general, if you lose money more than three years out of five, IRS will rule your activity is a hobby and that your losses are not deductible thereafter.
google 'us income taxes hobby losses' for more details
2007-07-31 05:41:13 · answer #3 · answered by Spock (rhp) 7 · 2⤊ 0⤋
yes
2007-07-31 05:36:13 · answer #4 · answered by tan0301 5 · 1⤊ 1⤋