Question

Sofia is a self-employed wedding planner with a qualified in-home office. Which of the following is...

Sofia is a self-employed wedding planner with a qualified in-home office. Which of the following is NOT a business expense for Sofia?

A- Tax preparation fees relating to the consulting business.

B- One-half the cost of eligible business meals.

C- The cost of concert tickets for herself and a prospective client.

D- Direct and indirect expenses of using the home for business purposes.

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Homework Answers

Answer #1

Your required answer is option A i.e. Tax preparation fees relating to the consulting business

Explanation:

Since Sofia is engaged in business of wedding planning therfore only those expenses which is directly or indirectly related to wedding business will be allowed as a business expense therfore in this case sofia is paying Tax prepration fee relating to consulting businesss (another business) will not be a business expense for sofia.

I hope this clear your doubt.

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