Thread: Tax Season....
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Old 03-05-2012, 07:54 PM   #7
Brotato
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Quote:
Originally Posted by Cowperson View Post
I pay my wife. It survived an audit.

Cowperson
I assume your wife does book keeping or admin work for your business? If so that's a very common and defensible way to split income.

I am looking into paying my wife an arms-length salary commiserate with staying home with our children. Anyone have any info on that surviving audit? I know it's specifically disallowed when the caregiver is related, but that seems punitive. Wonder what case law there is on this...

Last edited by Brotato; 03-05-2012 at 07:58 PM.
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