Terry D EA Posted February 24, 2016 Report Share Posted February 24, 2016 This is a new area for me. A person who is authoring books for sale would seem to incur some expenses in doing so. Would this be a Sch C type business? What business code would be selected? I have a client who has some books they have written published. They use a dedicated room (space) in the home so could the office in home deduction be used? Sorry for all the questions but as I stated I have not worked with any authors before. Quote Link to comment Share on other sites More sharing options...
Catherine Posted February 24, 2016 Report Share Posted February 24, 2016 Hi @Terry D I have an author. A couple of them, actually. Schedule C, yes indeed. I forget the business code but could look it up at my office tomorrow. Standard business expenses can include podcast hardware and hosting as well as web site domains, hosting, etc. Office in home yes but frequently you will just carry unusable expenses forward until a year they make money. In the deep and distant past royalties could be reported on Sch E and not subject to SE tax but that changed LONG ago. They want the SE tax. Which is sporadic for most authors (and when those unused home office expense carry-forwards come in handy). 2 Quote Link to comment Share on other sites More sharing options...
JMovichEA Posted February 24, 2016 Report Share Posted February 24, 2016 I use business code 711510 for the author I have 2 Quote Link to comment Share on other sites More sharing options...
Terry D EA Posted February 24, 2016 Author Report Share Posted February 24, 2016 Thanks! Quote Link to comment Share on other sites More sharing options...
Catherine Posted February 24, 2016 Report Share Posted February 24, 2016 13 hours ago, JMovichEA said: I use business code 711510 for the author I have That's the one I have, as well. Quote Link to comment Share on other sites More sharing options...
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