Business Owner Year-End Tax Test

How did you do this year and what can you claim? Take our test to see how well you’re doing and where you might need help. Give us a call if you have any questions or would like to schedule a consult.

1. You made a $100,000 equipment purchase in October. What's the maximum amount of that cost you could deduct this year?

  1. 0%

  2. 50%

  3. 100%

  4. A $100,000 equipment purchase? I wish.

2. You decided to supplement your small-business income by driving on weekends for a company that provides rides through an app. Can you deduct your mileage?

  1. Yes, you can deduct all mileage because your car is now a "business vehicle"

  2. Yes, but only for the weekend job

  3. No

  4. Right, like I have time for a second job

3. What did you do with the sales tax you collected?

  1. Recorded those funds separate from revenue

  2. Treated those funds as additional revenue

  3. Treated those funds as tax-free revenue

  4. I was supposed to collect sales tax?

4. When you traveled for business, what percentage of the cost of your meals did you deduct?

  1. 0%

  2. 50%

  3. 100%

  4. 150%

5. What about the coffee and donuts you supplied at meetings in your office?

  1. 0%

  2. 50%

  3. 100%

  4. 150%

6. If you keep an office in your house, are you required to separate your business records from your personal records?

  1. Yes

  2. No

  3. Not always

  4. Doesn't matter — I can't find either set in this mess

7. Did you keep a log of the mileage you claimed?

  1. Yes

  2. No

  3. Sort of — I created a log from memory using online distance calculators

  4. Why would I do that?

Answers

1.     C

2.     B

3.     A

4.     B

5.     C

6.     A

7.     A

Your Grade
7: Are you moonlighting as a CPA?
5-6: Those business courses were good for something
2-4: Could be better — an outsourced bookkeeper will help you stay organized
0-1: Uh, oh — audit ahead! Save your sanity (and perhaps your business) by hiring a bookkeeping expert

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