Top 7 Tax Mistakes to Avoid


2. Not separating business from pleasure

Even though you run a small business for which you do your own accounting, this is never an excuse to mingle your business tax information with your personal one. Don’t deduct lunches, holidays, or other expenses with clients and associates unless they actually had something to do with your business. Not only will this keep things clear and straightforward, but you will also have a lot less explaining to do if the IRS comes knocking. Also, it is preferable to do your personal and business taxes on different days, so as to not mix up the information.

 Top 7 Tax Mistakes to Avoid

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