A recent Tax Court case shows how the IRS may disallow business deductions when personal expenses, family costs, travel, meals, reimbursements, and shareholder advances are run through a company without proper records or a clear business purpose. For business owners, the lesson is direct: keep clean records, separate personal and business spending, and document why each expense belongs to the business.

A recent Tax Court case denied a $16,901 interest deduction because the business owners could not prove the debt belonged to the business or adequately document the underlying transactions. Learn how to avoid the same mistake.

A recent federal court decision denied more than $100 million of claimed tax benefits because the underlying transaction lacked economic substance. Learn what business owners should know before implementing sophisticated tax planning strategies.

Good records can be the difference between winning and losing an IRS hobby loss audit. Learn which documents impressed the Tax Court, how successful taxpayers proved profit motive, and the records every business owner should maintain under IRC Section 183.

The IRS can deny business deductions if it determines an activity is a hobby rather than a business. Learn how taxpayers won and lost real Tax Court cases, what records impressed the court, and the mistakes that destroyed otherwise valid deductions under IRC Section 183.