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Old 05-11-2013, 09:41 PM
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Default Re: Drums and American taxes

Quote:
Originally Posted by larryace View Post
I own an electrical contracting company. My accountant wife advised me to report all my drumming income, as well as all my drumming expenses, included along with my electrical business income and deduction. Just because my business is named Ace Electric, there's nothing that doesn't say I can't provide electric and backbeat services.

What I need to find out from her is...do you need to start a business (eg joes drumming for instance) to legally be able to make these deductions. I'm thinking you might. If you work for McDonalds only, and claim drumming expenses...not sure if that is allowed. It may be, I'll find out and post what my wife says.
My accountant has not required or even suggested that I "start a business." All I do is, like Al Parrott, keep a record of mileage, expenses, and income (keeping receipts for larger purchases) and give it all to my accountant for him to work his magic. I get 1099s from most bands that I've worked with, so it isn't that hard.

I would not try to deduct expenses if I had no income from playing, though. Too likely to get busted trying to write off a hobby, IMO.
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