Tax Rant Thursdays

Here is my Tax Rant for Taxable Thursdays. For the love of all that is taxation STOP "expensing" your income out of existence.

It is incredibly unfortunate when taxpayers file a tax return for $150,000 in income with $145,000 in expenses. This WILL trigger an audit. The IRS and State agencies have COMPUTERS now, which analyse every single filed Tax Return. When these miracle machines of modern man find an anomaly, such as significantly tight income to expense ratios, it triggers an investigation!

Auditors are quite aware that 9 times out of 10 the taxpayer's expenses are, shall we say, LESS than accurate, and their paperwork has unfortunately been eaten or destroyed by their dog, cat, flood, fire or alien invasion. It is just pure NONSENSE.

Better to keep your expenses accurate, with proper backup and pay your taxes like a good little taxpayer. Why? Because you aren't fooling anyone, your ploy will fail and you will then have to pay interest, penalties and you know possibly be the lucky winner of a criminal investigation for a fraudulent return.

Rant over.

#dontbeataxpuppet.