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A tax person in Portland pointed out my 'business' was just a hobby

I showed my books to a tax person last month... just a mess of random income and personal stuff mixed together. She looked at it for maybe five minutes and said, 'This isn't a business, it's a hobby with invoices.' She told me to pick a real business name, open a separate bank account, and stop buying coffee with the same card I use for software. I felt so dumb. I spent a whole weekend fixing it... got a new account, moved all my payments there, and started using a simple app to track miles. My taxes this year are actually going to make sense now. Has anyone else had a pro point out something basic you were totally missing?
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3 Comments
shane_morgan
Ouch, that's a harsh but needed wake-up call.
4
corap61
corap6122d ago
How many of us have been there with that messy mix of personal and business stuff?
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parker_hall5
Ugh, right? I keep a separate notebook just for work stuff now, it helps a ton.
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