Incorporate?

[Freddy]

Have any of you incorporated for purposes of claiming income and legitimate expenses as an official?

[Indianaref]

Originally Posted by Freddy

Have any of you incorporated for purposes of claiming income and legitimate expenses as an official?

No. Interesting, do this to limit your liability?

[Freddy]

Originally Posted by Indianaref

No. Interesting, do this to limit your liability?

Not so much for liability coverage. That's why I carry NASO membership. Though that might be a secondary consideration, if practical.
I'm wondering about it for tax purposes. Have any of you pursued incorporation for any discernable tax advantage?
Word around here is that, especially with the advent of more and more schools choosing RefPay, auditing by the IRS may become more of an issue for more officials. And if income/expenses are claimed, the thought of inexpensively forming an LLC occurred to me as an option for some.
Any insights from anyone out there?

[just another ref]

What is the advantage?

[Camron Rust]

Originally Posted by Freddy

Not so much for liability coverage. That's why I carry NASO membership. Though that might be a secondary consideration, if practical.
I'm wondering about it for tax purposes. Have any of you pursued incorporation for any discernable tax advantage?
Word around here is that, especially with the advent of more and more schools choosing RefPay, auditing by the IRS may become more of an issue for more officials. And if income/expenses are claimed, the thought of inexpensively forming an LLC occurred to me as an option for some.
Any insights from anyone out there?

If you're claiming all of your income as you should, the use of RefPay shouldn't change your tax liability or risk of audit. If, on the other hand, you're cheating on your taxes by not claiming all your officiating income, perhaps you should get audited.

In any case, the use of an LLC isn't going to reduce your income or increase what you can legally deduct....and it will probably cost you money to establish. It could allow you to insulate your personal assets in the event of a liability claim that exceeds your insurance coverage.

[BktBallRef]

Originally Posted by Freddy

Have any of you incorporated for purposes of claiming income and legitimate expenses as an official?

I file a Schedule C, claim my income and offset it with legitimate expenses.

[Welpe]

Originally Posted by BktBallRef

I file a Schedule C, claim my income and offset it with legitimate expenses.

This. Unless you're worried about liability, I see no need to incorporate.

[Adam]

Originally Posted by Welpe

This. Unless you're worried about liability, I see no need to incorporate.

There may be tax benefits, if you're otherwise self employed, but officiating income isn't generally enough to see them in amounts that offset the set up costs. A friend of mine (not an official) who is self employed does it so he can consider himself an employee of his LLC and get deductions for his health insurance.

Talk to an attorney, though, rather than a bunch of know-it-all dopes on the internet.

[deecee]

Originally Posted by Adam

Talk to an attorney, though, rather than a bunch of know-it-all dopes on the internet.

These days it's the dopes that run things. And no I didn't stay at a Best Western Inn Express last night.

[BillyMac]

Fa la la la la, la la la la.