Businesses on the cutting edge of technology may kick off the new year with a “sharing economy” workforce approach. Businesses that use a web-based approach to offering services, including the rental of tangible personal property, may qualify for the benefits related to this relatively new classification. Be aware of the IRS’ requirements and the related rules for the best business practices and for preparedness in the event of an audit.
The Sharing Economy Resource Center provides tips on the tax treatment of income and deductibility of expenses related to these types of businesses. Click here to learn more.
Helpful tax information for all small business and self-employed persons is available here.