im at a lost owner operator

This yr I file my company taxes my tax account says im at a lost. I do have alot of expenses semi new used truck bought tires and so on. Is it normal to be at a lost I feel like its a red flag. Should I take some expenses of I do have all the receipts.

 

Could be just first year losses due to start up expenses. Talk to your accountant about it and make adjustments now if need be.

 

Everything is an expence fuel repairs maintenance your cell phonevthe clothes you wear for work gloves ect... it is actually very simple

 

I know I have alot of expenses. What I would like to know if your at a lost does the irs automatically audit you. I would just rather break even then have to go trough that scary process.

 

I lost money 8 years in a row running a fishing business
all the while buying cars and houses
never audited
quit worrying
that is why you have an accountant

 

i believe you can show a loss for up to the first four or five years of a new business. you mighht also whant to talk to your tax person about depreciating your truck over next seven years, instead of writing it off right out the gate. double check with your tax pro, and get a good tax pro not a franchise; ie h@r, liberty, ect... hope that helps

 

I operated at a loss for 10 years and you'd never know it, bought new pickups, new tractors, if I wanted something I went and got it.

 

ok well thats good. It just seems kinda dumb to run a business at a lost when in reality I made money. Bought tools and things I wont need anymore but on paper it looks odd to me.

 

He's actually saving you money, if you show gains you will pay more in taxes on the bisness side

 

Dont worry, nothing dumb about it at all. Thats how its done. Im sure Uncle Sam would not have any problem taking your money if you start to loose sleep over it though but you may be the first that ever did.