Well I honestly thought I had a great thing going.. I was going to continue on doing what I love doing with the photography side-business, and have all these great tax deductions that I could use when it comes to tax time.
No so, says my good accountant buddies.
Unfortunately there is no way to reduce the amount of taxes that I pay on my main BellAliant T-4 (CRAP!). You can understand my confusion.. I was hoping that I could do my little photography business on the side, and claim all of my purchased equipment, Internet, cell phone, office furniture, mortgage (portion for home office), vehicle, etc..etc..etc.
And you know.. I CAN claim all of those things.. however the deductions can’t go over the amount of money of income I take in from the side-business. For example if I only made, say $1000 for the year doing photography.. then I can only claim the amount of taxes I would pay on that. Say 30% or $300 for example. Can you say.. not worth it??
This screwed me up, I thought (stupidly now I realize) that I could claim them and they would go against my entire personal tax amount, thereby allowing me to make those claims against my BellAliant income tax as well. That would be the best thing.. ever!
Bah.. not the case.. so I’m bummed out about that, but that’s ok.. I still think it’s a great side-business and I really enjoy it.. so I’ll have to look elsewhere to find some tax deductions 