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> A farmer could buy a brand new truck and call it a business investment. That is a business expense. 500k is after all the business (Non-personal) expenses, d
by newhotelowner 6y ago
> A farmer could buy a brand new truck and call it a business investment.
That is a business expense. 500k is after all the business (Non-personal) expenses, depreciation and deductions .
- take_a_breath 6y ago$500k is the income. The entire point is that business and personal expenses overlap considerably for farmers so they have wide range for tax purposes. It’s an inefficiency in the tax code which allows a person to have income of $500k and pay less than 31% in taxes.