Tax Deductions
 

I was just going over my list of expenses for the year with my accountant and he pointed out that I need to get a little more creative with my deductions. For example, he wanted to know how many times I had painted my children, I told him he asked if I used those for advertising, I replied yes. He asked.."did you pay your children", I replied "no" and he in turn states YOU SHOULD! He also told me I should consider "hiring" my husband for all the help he gives me.

Basically, I have only been deducting for my art supplies and mileage, and haven't really even been deducting for that like I should. I never realized how much I was letting slip through my fingers til this discussion the other day.

Also,I am SO unorganized and trying to be better at keeping good records. I would be interested in hearing, especially from other "scatter brains", how you have managed to keep good records. And what types of creative (but legal of course) deductions do you take?

Mary, my accountant has told me that I can deduct art magazine subscriptions, museum memberships, gallery memberships, art books, my website expenses, computer-related expenses since I make brochures and cards and work on my website and also communicate with other artists that way, cost of workshops, purchase of and repairs to camera equipment since I paint from photos, utilities such as propane gas, water treatment, and electricity for my studio - you get the picture.

I've never paid my models, though. Interesting idea. How did he suggest you do that?

Yes, my accountant has also advised me to pay my children for the modeling work they do for me - I am also unsure as to how much - perhaps a defensible hourly rate ($10?)