Tax Question

[Cactus Cactus]

If say I made 100k for the year, and I buy a business for 100k, 40k which is "good will" can I deduct this off my taxes so that 60k is my taxable income?

Are there any other secrets to deferring income buy perhaps buying a business

[unreal_nh]

assuming your 100k is from gambling earnings.. u have to report the gross amount and deduct your losses. as far as deducting the amount for purchasing the business is an entirely different thing.. i would suggest consulting a tax professional on that one.

[broiler]

Goodwill is considered an intangible asset for tax purposes and is amortized over 15 years.

Buying a business is generally not a good way to generate deductions for your personal tax return since anything that generates large deductions will cost you an equal amount in cash. If you already own a business, then the expensing of business assets (equipment) might help your personal tax situation under the right corporate structure (S corp or partnership).

[Krazy Dan]

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If say I made 100k for the year, and I buy a business for 100k, 40k which is "good will" can I deduct this off my taxes so that 60k is my taxable income?

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Goodwill is amortized over 15 years, so the most you can claim in any one year is about $2670.

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Are there any other secrets to deferring income buy perhaps buying a business

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Here's a secret to avoiding tax, don't have income.

Buying a business will not lower your after-tax net income.

And actually, any time you do something for the sole reason of a tax deduction, you're spending $1 to save at most 35 cents, thus making you an idiot.