If you provide support to your parents, children, grandchildren or any other relative, consider hiring them to work in your business. This allows you to receive a tax deduction for the amount of support you provide.
If you were to send your kids to college, would the college tuition be deductible? The answer is no. You may get a small tax credit, but that’s it. If you pay for the room and board and provide a car, will that be deductible? The answer would be no. If you were to pay for your daughter’s wedding, would that be deductible? No. How about private school tuition, summer camps and music lessons? Unfortunately, kids come with expensive needs and desires. How would you like to be able to deduct the equivalent of all these expenses? The answer is to hire your children in your business. Wages paid to an employee are deductible. If your kids use this money to pay for college, room and board, weddings, private school tuition, summer camps, and hobbies, aren’t you getting the equivalent of a deduction for all these? Yes!
To get your deductions for wages, you must be able to prove several key items. Be sure to watch this lesson to learn more