tax deductions?

can you have more in tax deductions than what you made for one year. i own a buisness and have alot of deductions. i think it might be more than what the buisness made this last year.
also if you are a contractor do you go by your gross before any bills are paid or your net after materials are paid for?

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  1. #1 written by tma May 19th, 2010 at 23:00

    yes, if your expenses exceed your income you would have a net loss.

    gross means income before expenses are paid. you report gross income on Schedule C. then list any expenses, including materials.

    RE Q
  2. #2 written by roar May 19th, 2010 at 23:00

    RE Q

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