so funny... he explains everything in perfect order. and as I'm following along like... "Whats a tax credit though?" annnnnnnnnd its the next thing. Perfectly explained!
Itd be nice if you gave more of a anecdote about how each term works not just its definition, its nice how much you work on getting us to clearly depict things but itd be nice to have some expansion on it not just clearer definitions
they don't teach you anything you need to know in schools so that your clueless and vulnerable. They do it on purpose its not a coincidence but I too heavily agree.
This is a great video. High quality content. I love to see a black brother making it happen! I liked, commented and subscribed, may the algorithm bless your channel!
Thank you so much for explaining these things. I took TAX1 last month, and my professor did not explain these fundamental things, he just assumes students will automatically know it.
I’m a little confused when it comes to Tax deductions and Tax credits. If I had 10,000 in Taxable Income, and 10,000 in Tax Deductions, wouldn’t that mean that my AGI is 0? Therefore I don’t owe anything?
Taxible income - Tax deductions = Adjusted Gross Income (AGI) 10,000 (TI) - 10,000 (TD) = 0 (AGI) That means you get all the money on your taxes back whatever the amount. Doubtful if your tax credits would equal your deduction however tax credits work differently tax credits are dollar for dollar what you owe in taxes (owe IRS) AFTER your tax liability has been determined @7:45 But kudos if that's the case ✌🏾
Sherman was awesome in this video! He explained everything very well. I now have a much better grasp of tax deductions that I can use towards my new business. Thank you Sherman!!
Question. Not a business, just a hobby. I buy broken electronics, fix and sell them. I make little money doing so but the income seems high if not counting how much I spent initially and for all the equipment and supplies. Can I write those off ?
Starting a sound/DJ production business. Will I be write off the equipment cost as business expense? Also, what about the equipment I already own but will be transferring it to the business for business use? TIA
So if I want to buy a laptop for my business that I want to start. Can that be written off if I bought it before I created LLC, or should get the LLC 1st. Open a business account, and use that business account card to buy the laptop?
random question and I feel like I know the answer already: For a youtube channel, things i purchased for that channel such as cards (playing cards) can those be written off?
You mention tax deductions for small business for home office, technology, business knowledge, cell phone, etc. is there any way that an individual can take advantage of those types if tax deductions as well? For example, I have purchased computer monitors to work from home during the pandemic. Would it be possible for me to use that purchase as a tax deduction for the 2021 tax season even though I am filing taxes as an individual and not a business?
Hey Dustin, unfortunately a lot of those deductions are for business owners. However, you should check out this video for ways individuals can reduce their taxes. th-cam.com/video/aLGyEio20s4/w-d-xo.html
I would be very Thankful if anyone answers my question, im on my way to become a Professional wrestler (main roster), so my annual salary is around £400,000 (UK Pounds). So i take monthly £19,250 (after taxes). But i wanna deduct £255,000 of my annual salary. So when it’s an annual salary. When im gonna to apply to deducted £255,000, am i gonna get it at the end of the year (as long as all my monthly salary taxed) ?. Even if entire monthly salary ?. Thank you.
What if you have a corporate job but are starting out your business and plan to utilize s179 for software. Can you still write off the software towards your entire gross income (business and corporate job) included?
I loved the way you explained this, this jargon is so new to me that I'd be like Wait what exactly did he say that was? & sure enough you described it a 2nd time I was like Wow its like he can hear my thoughts :D subscribed ^-^
One time a girls father in my girl’s basketball team wanted me to donate money to them so they could be in a state traveling team and said I can use that as a write off and gave me a form what form was that? I forgot
Could you help explain individual tax deductions, im a construction worker and pay quite a bit to stay safe and for tools. Is there a way I could make claims on the 2hr drive to work everyday, or the gas?
No. Travel time to work isn’t claimable. If you are on the clock and driving that’s a different story. You can claim travel miles then. That is if you’re driving your personal vehicle
@@KumaDormilon right?! I just started my first LLC fairly recently, stressing out like crazy over everything. But all said and done; it wasn’t even that bad. The crap part I didn’t know was every town requires me to file for a license in that town before a specific date early in the year. If I don’t get in in time I can do NO work legally in that town. And of course it’s gee after fee. That’s the agonizing part!
@Joel Marcy yeah fairly rough when starting out, but you have to ride those waves. Eventually you'll sail smoothly, best choice I've made, it's almost crazy how much you can actually claim and how many benefits there are to having even just an llc.
Hi I just talk to hr block, the lady confused me... If I buy a car over 6,000 pounds I'm a sole proprietorship, say I paid $80k, & don't owe the irs and I use 179 accelerated depreciation within the first year, when I file my taxes will I get the full 80k back returned into my account? Car use 100 percent for business
So... A tax deduction's function is to move your AGI downward toward the next tax lowest tax rate. Whether it achieves that next lowest rate or not, either way you will still owe taxes. At that point, whatever that number is, a tax credit is used to reduce that number directly.
Are tax deductions just for business owners? and can I start bookkeeping before I get my EIN or would that not count I have a blog and I don’t know if I’m suppose to get a EIN for that or do I just need my Tax ID number I’m 19 and I’m lost because they don’t teach us this in school
I still don’t understand how I would owe money if I had a income of 15,000 and my tax deduction is 15,000 because then I would have no agi therefore no tax liability correct me if I’m wrong 7:59
I'm confused. If my taxable income is $100k and I buy a store or something else tax deductible for $100k, wouldnt that be $100k taxable income - $100k tax deduction = 0 Remaining income?
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This video should be required for every High School and College student.
only if you run a business
so funny... he explains everything in perfect order. and as I'm following along like... "Whats a tax credit though?" annnnnnnnnd its the next thing.
Perfectly explained!
Wow I appreciate that, I definitely tried to make sure no stone was left unturned
Yes! Thought the same thing, he is so well spoken and in such a great order that helped me to understand step by step!
Pl
Grown man of 40 here. Embarrassed I didn’t know these things. Thankful for your work. Liked and subscribed.
Y'all will have a big channel someday. Keep it up.
Thanks for your support, Ryan!
This aged well
@@Chefdookster I wish I wrote how many subs they had at the time! Lol.
Still early innings! 152k
Did that was incredibly informative.. and you talked in way that was understandable and relatable. You genuinely provided some great value!
As a small business owner getting started! This was well explained!
Thanks Hecmar. What type of business do you have?
@@LYFEAccounting Auto Mobile Mechanic
Itd be nice if you gave more of a anecdote about how each term works not just its definition, its nice how much you work on getting us to clearly depict things but itd be nice to have some expansion on it not just clearer definitions
I don't even have a business but it's very helpful information. This is what schools should teach instead of some of the nonsense being pushed
they don't teach you anything you need to know in schools so that your clueless and vulnerable. They do it on purpose its not a coincidence but I too heavily agree.
This video explanation flows perfectly with the way I learn. Thank you!
This is a great video. High quality content. I love to see a black brother making it happen! I liked, commented and subscribed, may the algorithm bless your channel!
That means a lot, thank you!! 💯
Can I say I love seeing my white brothers make it happen?
just letting u know I learn & understand more from u in one video than I ever understood in all 4 years of school as an accounting major
Thank you so much for explaining these things. I took TAX1 last month, and my professor did not explain these fundamental things, he just assumes students will automatically know it.
Wow. Glad I was able to help you out.
So professional and so clear- thank you and your wife both for this wonderful work of yours 🥰🥳 bless you! Subscribing from all my 4 devices 🙏
Ayo thanks dude. I’m trying to learn more about this stuff since I’m now an adult. This is super helpful.
Glad I was able to help! Thanks for watching.
Crystal Clear info. Thank you so much, subscribed!
Thanks for the sub!
I'm so glad they teach this school.....
I’m a little confused when it comes to Tax deductions and Tax credits. If I had 10,000 in Taxable Income, and 10,000 in Tax Deductions, wouldn’t that mean that my AGI is 0? Therefore I don’t owe anything?
Good point surprised nobody confirmed
Probably have to make more than the deduction for a deduction to be applied
Taxible income - Tax deductions = Adjusted Gross Income (AGI)
10,000 (TI) - 10,000 (TD) = 0 (AGI)
That means you get all the money on your taxes back whatever the amount. Doubtful if your tax credits would equal your deduction however tax credits work differently tax credits are dollar for dollar what you owe in taxes (owe IRS) AFTER your tax liability has been determined @7:45 But kudos if that's the case ✌🏾
Sherman was awesome in this video! He explained everything very well. I now have a much better grasp of tax deductions that I can use towards my new business. Thank you Sherman!!
Glad it was helpful!
I really appreciate you putting this series of videos together. Thanks!!!
The best channel for taxes period....
.
Question.
Not a business, just a hobby. I buy broken electronics, fix and sell them.
I make little money doing so but the income seems high if not counting how much I spent initially and for all the equipment and supplies.
Can I write those off ?
Baller ass video, Sherman! I just started a small business and all this was helpful. Super clear and concise, thanks. Liked and subbed!
Man thanks, that means alot!
Great video thank you!
However I have a question please.
Is it possible to obtain tax deductions/write offs as a 1099 employee?
This is an awesome channel! Keep doing your thing, brother.
So simple! Thank you!!
GREAT WORK Sherman! I learned so much. You earned my sub. Thank you
Awesome, thank you!
Awesome, thanks for your time to build this video!
See we need to take advantage of this ish.. perfect explanation!
Definitely need to. It's there for you.
Thank you so much sir I appreciate so much. Your saving a lot of hard working Americans money ✌🏾
Starting a sound/DJ production business. Will I be write off the equipment cost as business expense? Also, what about the equipment I already own but will be transferring it to the business for business use? TIA
So if I want to buy a laptop for my business that I want to start. Can that be written off if I bought it before I created LLC, or should get the LLC 1st. Open a business account, and use that business account card to buy the laptop?
thank you for the video man! My CPA didn't even explain it to me
Great info. Truly appreciate you and the information you give !!
I appreciate that!
I’m watching your videos at 2 am you are such a great teacher! Your information is worth thousands to millions in great hands 🔥🔥🔥
Excellent made educational video! Thanks for the content!
Our pleasure!
Can I hit the like button 10x? Thank you for this free learning
Great vid bro! Thank you for the explanations! 🙏🏽
random question and I feel like I know the answer already: For a youtube channel, things i purchased for that channel such as cards (playing cards) can those be written off?
Great information thank you! I do have one question, are tax deductions only for business owners then?
Outstanding awesome info laid out so clearly.
This is a great video and a great channel
How about the purchase amount of a bicycle used as a marketing tool for a mobile bicycle repair business. Will that be tax-deductible?
You mention tax deductions for small business for home office, technology, business knowledge, cell phone, etc. is there any way that an individual can take advantage of those types if tax deductions as well? For example, I have purchased computer monitors to work from home during the pandemic. Would it be possible for me to use that purchase as a tax deduction for the 2021 tax season even though I am filing taxes as an individual and not a business?
Hey Dustin, unfortunately a lot of those deductions are for business owners. However, you should check out this video for ways individuals can reduce their taxes. th-cam.com/video/aLGyEio20s4/w-d-xo.html
So if I was working a 1099
My car down broke down had to spent thousands can I use that as a write off ?
great video, question- do screenshots of notepad / day planner count as proof when filing tax deductible expenses? photos of written calendar/journal?
I would be very Thankful if anyone answers my question, im on my way to become a Professional wrestler (main roster), so my annual salary is around £400,000 (UK Pounds). So i take monthly £19,250 (after taxes). But i wanna deduct £255,000 of my annual salary. So when it’s an annual salary. When im gonna to apply to deducted £255,000, am i gonna get it at the end of the year (as long as all my monthly salary taxed) ?. Even if entire monthly salary ?. Thank you.
Great video. Can you do a video on a scenario of having no income but business expenses?
Very well made and easy to understand. Subbed !!
This is great thank you very much my friend
Would business attire be an expense I could write off ? Thanks for the vocab I subscribed I need to know 😵💫
Thank you for the content brother 💪🏾
My pleasure!!
this is top notch content bro subscribed.
What if you have a corporate job but are starting out your business and plan to utilize s179 for software. Can you still write off the software towards your entire gross income (business and corporate job) included?
Wat about if u sell a item if it not for profit
I loved the way you explained this, this jargon is so new to me that I'd be like Wait what exactly did he say that was? & sure enough you described it a 2nd time I was like Wow its like he can hear my thoughts :D subscribed ^-^
One time a girls father in my girl’s basketball team wanted me to donate money to them so they could be in a state traveling team and said I can use that as a write off and gave me a form what form was that? I forgot
Interested on deductions for full time employees with income $1M. Where to get that?
how does deducting taxes from a car deduct ur general taxes?
I enjoyed this video, great information.
Will it be wise to do your W-2s, 1099s & Schedule C all together and then apply this technique or do business and regular job separately?
Hey! Based on your business entity, you may or may not file a separate business return. What type of entity do you have?
@@LYFEAccounting my 9-5 is active duty military...my side gig is real estate broker here in Augusta GA
So easy and well presented , appreciate you :) Gracias
Love your videos!! Super helpful
What are the differences in deduction or withheld
This was sooooo well made. Thank you so much, very effective and easy to follow.
Love to hear it. Thanks for watching.
Such a solid video
Can you share some examples of not eligible expenses, like if space on your home qualify as tax deduction?
Watch this: th-cam.com/video/E-q9yb2nMgg/w-d-xo.html
Are guitars, speakers, a laptop, and recording software ordinary and necessary tax write offs if I own a music recording studio?
Also, what if in my first year I spend more money on business expenses, than the revenue I'm bringing in?
Damn this was so clear - thank you!!
Could you help explain individual tax deductions, im a construction worker and pay quite a bit to stay safe and for tools. Is there a way I could make claims on the 2hr drive to work everyday, or the gas?
No. Travel time to work isn’t claimable. If you are on the clock and driving that’s a different story. You can claim travel miles then. That is if you’re driving your personal vehicle
@Joel Marcy eh, I quit that job already and became 1099 so now I can claim them on my tax doc. Thankfully not as hard as everyone makes it seem.
@@KumaDormilon right?! I just started my first LLC fairly recently, stressing out like crazy over everything. But all said and done; it wasn’t even that bad. The crap part I didn’t know was every town requires me to file for a license in that town before a specific date early in the year. If I don’t get in in time I can do NO work legally in that town. And of course it’s gee after fee. That’s the agonizing part!
@Joel Marcy yeah fairly rough when starting out, but you have to ride those waves. Eventually you'll sail smoothly, best choice I've made, it's almost crazy how much you can actually claim and how many benefits there are to having even just an llc.
I wish someone would do a video going over things you could deduct as an artist or youtuber.
Look up Brian Kim ClearValue Tax. He has a great video for that.
@@ridingwithryan1507 Oh hell yeah, thank you!
Amazing instructor. Thank you :)
You’re awesome bro 😎🙌🏽
For what?
Thank you much love 🙏💚
Hi I just talk to hr block, the lady confused me... If I buy a car over 6,000 pounds I'm a sole proprietorship, say I paid $80k, & don't owe the irs and I use 179 accelerated depreciation within the first year, when I file my taxes will I get the full 80k back returned into my account? Car use 100 percent for business
Thanks this is so helpful!!
Very informative. Thank you for the top quality information. Keep ‘em coming 💪🏽
Will do, thank you
Thank you for this! very helpful and easy to understand
You're very welcome!
What about if I buy a computer to use for school? I am enrolled in a online 4 year degree.
So... A tax deduction's function is to move your AGI downward toward the next tax lowest tax rate. Whether it achieves that next lowest rate or not, either way you will still owe taxes.
At that point, whatever that number is, a tax credit is used to reduce that number directly.
CORRECT! Though you can lower your AGI to 0 with enough deductions.
EXCELLENT VIDEO. Described in plain English 😆.
WOW thank you Reek, hope you consider subscribing?
@@LYFEAccounting I did 👍
Awesome video thxs 🙏
great video! i have learned a lot. keep the good job 👍
Awesome! Glad it helped!
Are tax deductions just for business owners? and can I start bookkeeping before I get my EIN or would that not count I have a blog and I don’t know if I’m suppose to get a EIN for that or do I just need my Tax ID number I’m 19 and I’m lost because they don’t teach us this in school
The best tax deductions are for business owners and investors, yes. There are some for individuals, but they aren’t comparable.
Im now plugged N with U guyz now!!! Thankx!
Welcome!
This was very helpful
So helpful. Thank you!
I still don’t understand how I would owe money if I had a income of 15,000 and my tax deduction is 15,000 because then I would have no agi therefore no tax liability correct me if I’m wrong 7:59
Im 1099 for the first time this year.I didn't save any receipts as I didn't know it can be tax deductions(fuel,tools,food)?What can I do?
How do u calculate tax deduction.?
This is tremendously helpful! Thank you!
THANK YOU SO MUCH 😊 I REALLY APPRECIATE YOU
New subscriber ✊🏾
Great video, Thanks! subscribed!
Awesome, thank you!
I'm confused. If my taxable income is $100k and I buy a store or something else tax deductible for $100k, wouldnt that be $100k taxable income - $100k tax deduction = 0 Remaining income?
Thank you ! This has been so helpful as a freelance performance artist
Very clear thank you!!!!
Glad it was helpful!
Say I wanted to host a gaming tournament with cash prizes can I write that off as a donation if I put all the money up?
Exactly school only taught us to go to college for four years and work for someone
great video. well explained
Thank you!
Was very helpful 👍👍👍👍
Glad to hear that! Just curious, which part did you find most helpful?