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hey everybody matt johnston here so i have seen some interesting social media in the past couple of weeks the fun thing about the social media things that i am seeing is this notion that is being posited by a bunch of people who clearly don't know any better that if you form an llc suddenly all of or some of your personal expenses can magically be transformed into business expense deductions i am here to tell you that is not true period end of story it's simply not true ladies and gentlemen if you form an llc for a business purpose your business expenses the things that are incurred for you to conduct the business of your company those are deductible but your personal expenses are not going to be deductible they never were they never have been so when you create a legal limited liability company you are creating a legal entity that legal entity has responsibilities to the state in order to maintain the status as a legal entity so first of all you have to register with your state forming an llc in a particular state can range anywhere from fifty dollars to four or five hundred dollars in application fees period just to apply to become a limited liability company and in most states in fact i don't know of any states that don't have at least an annual reporting requirement with some amount of money that has to be paid annually to the state in order to maintain your legal status so here in the state of maryland just to give you an idea the cost to form an llc is 194 dollars if you choose to do it online so it's a 100 filing fee a 50 expedited fee a 20 uh return fee to get your documents back and a 20 dollar um fee for i forgot what the other thing is um oh to uh for certified copies so all of that plus four dollars in order to do the online um bank fee or bank transfer fee so you've got to pay 194 dollars just to form your llc and then every single year you have to pay a 300 personal property return fee which must be paid that sort of keeps you alive and then you may have to pay personal property taxes depending upon the nature of the equipment that you have in your business that's in the state of maryland other states are going to have different requirements and so your mileage and therefore your expenses may vary but let's take a a real case one that is legitimate that you might be able to have some personal deductions let's say during the pandemic you decided to be one of those people who decided to work as a door dash driver or instacart driver or some other similar driver delivering things in your personal car if you are using your personal car to conduct business you may deduct the mileage the general services administration the united states government publishes a rate for privately owned vehicles that is considered usable the irs considers those reasonable deductions but be careful you have to make sure that you are deducting actual business expenses so for example if you are working as an instacart delivery person and you receive a request and accept a request to go shopping for somebody your drive from your house to the grocery store that's one leg of your work or there's one leg of the the task then from the grocery store to the home where you're delivering it that's part two and let's say you accept a third another delivery and so you go to another grocery store and then to the second delivery spot and then from the second delivery spot you decide you're done and you go home okay fantastic the only things you get to deduct as business expenses are from the first grocery store to the first delivery from first delivery to the second grocery store and second delivery to the second grocery store to the second delivery that's all you get to deduct your drive from your home to the first grocery store that's commuting it's not deductible your drive from the second delivery site to your home is commuting not compensable so you cannot deduct all of that time and you can't deduct that mileage that you do for your commuting time okay and oh by the way you should also keep track of all of those things and all of your instacart job tickets because at the end of the year you need to be able to substantiate that's what you used your personal vehicle for all right so let's get back to this notion of personal expenses what happens if you decide to ignore the law and try to deduct personal expenses from your llc costs from your llc operations so the first is that you may end up in a little bit of hot water with the state in which you are registered because you are not exactly doing things the way you're supposed to be doing you could run into some tax trouble with the irs more on that in just a second you could run into some tax trouble with your state and potentially locality but let's leave aside your potential tax liability and let's talk about something called alter ego recovery and when you form a limited liability company the whole purpose of the limited liability is to limit your personal liability for obligations of the business so in most states it's pretty hard to get behind the limited liability shield here in the state of maryland the only thing that's been upheld is fraud but one way to get behind the legal liability shield is for the legal entity the llc to be considered nothing more than an alter ego of you so if you're using your llc to pay for your personal groceries gas gifts veterinary care what have you then it is possible for somebody to say wait a minute your limited liability company doesn't exist apart from you it's just part of you you're just using this thing over here to pay for your personal expenses so the liability shield should not continue to exist and it is possible for the liability shield to then be demolished and now your personal assets are just as much at risk as if you had never had an llc so if you're going to have an llc then you need to make sure you are using it for a business purpose you need to make sure that the expenses that you are deducting are business expenses that are being done to further the business so if you're going to staples to buy office supplies that's probably going to be okay as a business expense if you're going to your local veterinary veterinarian to have your dog taken care of unless your dog is part of the business it's not a person it's a personal deduction not a business deduction and that becomes a problem now our good friends at the infernal internal revenue service decided to throw everybody a little bit of a curveball so in one of the most politically tone deaf moves i have seen in a very very long time coming out of washington the irs recently said that they are going to increase the number of small business audits by 50 in the year 2021. so if you suddenly created an llc and you're deducting all kinds of interesting uh personal expenses that you think you can the irs might decide to take an interest in what you're doing and conduct an audit and it's not going to be easy the irs is not stupid ladies and gentlemen they know what they're doing and they will find it out so whenever you see all of those things on social media saying hey form an llc and to deduct you can th
Thanks for your comment Eneida Klingelhoefer, have a nice day.
- Quentin Whitecotton, Staff Member
this month marks the official launch of one of the largest and probably one of the most ineffective religious ad campaigns in american history a group of christians plans to spend over one million dollars to shove jesus in as many faces as humanly possible they're gonna use that money to pay for tv commercials billboards and online ads that tell you one message about jesus he gets us the idea is that jesus is just like you he understands you he's gone through rough times he's been there now worship him or else you'll burn in hell for all eternity they don't say that part out loud oh wait i'm sorry you know what did i say this was a million dollar campaign and you thought wait no that's an insane amount of money for something like this well i'm kidding it's a 100 million dollar campaign these are doctor evil numbers and it's funded by anonymous donors who just happen to have that kind of money lying around nothing shady about that at all it's actually a little hard to criticize the ads themselves i mean we will but stay with me here because they're not promoting a particular church or denomination it's quite simply a campaign that's meant to sell the idea of jesus in the hopes that viewers will eventually want to connect with a church or at least the faith in general but you know even if they don't at least they'll be saved it's kind of like ad campaigns for milk if they work all the milk companies benefit and if they don't well at least you'll be healthier except for that analogy to really work in this case we would have to assume all the milk is spoiled so let's talk about this campaign and why i think their strategy will never work and why they would just be better off giving that money to me at patreon.com hemet christianity today explains that this campaign comes from the servant christian foundation a non-profit backed by a christian donor-advised fund called the signatory last year the servant christian foundation approached bill mckendree founder and chief creative officer at haven concerned that too many young americans are leaving christianity and that more people were growing hostile toward faith their idea a national media blitz for jesus at a scale that no single church could afford so to summarize some christian nonprofit group that takes money from a giant christian pool of money asked a christian media guy what they could do about christianity's image and instead of saying let's feed the poor or help veterans or build hospitals where all services are free of charge or create an army of trained volunteers who help their communities in secular ways or run christian nationalists out of office by funding their opponents or take over the studios of shady televangelists so viewers never have to see them on air again all of which would make christianity look a lot better to outsiders they decided to go with commercials because that's what the people were clamoring for everyone loves ads and everyone pays very close attention to them to put that another way instead of leading by example they chose to lead by rhetoric it's about as stupid as buying a multi-million dollar super bowl ad that says your company has given hundreds of thousands of dollars to charities that need it like that's nice but why not just give away more money and send out a press release for free if you're smart you can find a way to make sure that gets attention mackenzie scott the ex-wife of the founder of amazon has given away billions of dollars so far to well-deserving schools and non-profit groups without asking for anything in return but these christians can't even buy a freaking clue at least that was my first reaction without really knowing what all the ads looked like they're spending all this money and i don't believe for a second that there's a chance in hell they will ever convince me to believe in jesus or you either but they've made it very clear that people like me and you are not their target audience the campaign organizers are not trying to convert atheists they're aiming for what they call the movable middle the people who might be open to christianity but who for whatever reason are not currently christian and that makes some sense i mean if you're running a political campaign for example you are better off trying to register new voters and getting inactive voters off their butts and to the polls for you rather than trying to convince people from the other party to vote for your candidate i understand that strategy it's a good idea but nowhere in that christianity today article or in any of the group's public statements does anyone talk about the biggest and most obvious flaw with this plan you shouldn't sell a product without acknowledging the side effects and jesus no matter what christians might want you to think about him comes with a lot of baggage i mentioned the super bowl do you remember all those super bowl ads for crypto currency platforms there was a tweet that went viral after the game that read one reason i still have trouble believing cryptocurrency is money is that there aren't commercials for money i mean there are commercials that try to get you to invest your money but the joke of course is that a good product that already has widespread usage shouldn't need a marketing campaign at all if it's that good it'll sell itself god may be omnipotent but apparently he needs help marketing jesus and marketing jesus comes with an inherent problem most of the people who believe in him are not people you would ever want to admire between televangelists mega church leaders republican politicians campus evangelists hate preachers lazy apologists the duggars the pro-abstinence girl-defined people everyone at pureflix and franklin graham the amount of harm caused by the most fervent jesus followers cannot be understated to paraphrase a famous saying why would you ever want to join a club that includes those people as members why wouldn't you at least acknowledge that the biggest obstacle to selling jesus are the people who spend their lives trying to sell you jesus go after the dealers here's how oblivious these people are just consider the he gets us facebook page which has a few basic rules when it comes to interacting in the comments sections beneath each post one of them is no hate speech or bullying it goes on to say that degrading comments about things like race religion culture sexual orientation gender or identity will not be tolerated that's fine but come on it's christian politicians and pundits and preachers who routinely deliver degrading comments about all those categories it's not okay on facebook but i guess it's okay from the pulpit the same pattern emerges when you see the kinds of things they plan to use in the ads consider one of the videos that's gotten the most attention called jesus was born to a teen mom it's all about how mary was pregnant and scared but her husband supported her anyway even though he knew he wasn't the father and obviously she kept the baby and it ends with the screen that says jesus gets us all of us besides the emotional manipulation there jesus had nothing to do with that story he didn't he
Thanks julehelg3 your participation is very much appreciated
- Quentin Whitecotton
About the author
I've studied knowledge engineering at Minnesota State University, Mankato in Mankato and I am an expert in quantum field theory. I usually feel enraged. My previous job was golf course superintendent I held this position for 30 years, I love talking about editing and painting. Huge fan of Hunter Hayes I practice flag football and collect first day covers.
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