What's a good side business for a W-2 employee to reduce taxes?

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What's a good side business for a W-2 employee to reduce taxes?

I've been 1099 for a long time, however, I'm W-2 now. I'm looking for some kind of side business to reduce taxes somewhat.

2007-12-09 12:08:26 · 2 answers · asked by Question Monster 4 in Business & Finance ➔ Taxes ➔ Other - Taxes

2 answers

DON'T try to reduce taxes. Try to MAXIMIZE after tax income. The best way to reduce taxes is to quit working.

2007-12-09 12:21:44 · answer #1 · answered by STEVEN F 7 · 2⤊ 0⤋

A side business will increase taxes, not reduce them.

If you show a business loss it could reduce your tax for awhile, but it would have to be a real monetary loss, so you'd lose a lot more on the business than you'd save in taxes.

2007-12-09 20:55:09 · answer #2 · answered by Judy 7 · 1⤊ 0⤋