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TIL people have no idea how taxes work. Stories that paint completely legal deductions and avoidance strategies as being improper only hurt the pub's credibility and embolden the "fake news" narrative. Massive, real debt would be a reason for concern but not legit deductions.

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The New York Times

@nytimes

· Sep 27, 2020

Exclusive: The Times has obtained tax-return data for President Trump extending over more than two decades. It shows his finances under stress, beset by losses that he aggressively employs to avoid paying taxes and hundreds of millions in debt coming due. nyti.ms/308oHAj

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Jesse Powell

@jespow

Sep 28, 2020

Also, of course paying your business consultant is a deductible expense. It doesn't matter if the consultant is a family relative. Your expense is their income. The taxable income just moves from one entity to another. Fake outrage from people who know better isn't helping anyone

decentralize101

@Decentralize101

Sep 28, 2020

I don't believe an employee can simultaneously be a business consultant and take 2 separate sets of deductions. If you are doing that at Kraken then time to clean it up and get your books right. Hire a good accountant. Its not legal.

Replying to

Can you be an Employee & Independent Contractor for the same company

It is possible to have a W-2 employee who also performs 1099 independent contractor work, but employers must follow these federal regulations.

4:32 AM · Sep 28, 2020Twitter for iPhone

Replying to

Thanks for the link. She was an officer too at the time. Best to try this classification out for yourself or one of your officers and wait for your audit!