I have many clients in the entertainment industry and appreciate them all. The ones that fly to Denver to meet with me are my favorite as they tend to be the most disciplined. You are applauded on and off the stage.
Entertainers who invest their limited time learning about how income tax obligations impact their business decisions are a rare breed. Over the years I've come to know some amazing 'rare breed' entertainers hailing from all over the planet but particularly New York, LA, and Nashville.
The one area of consistency among all professional entertainers generally speaking seems to be that those disciplined enough to understand as many implications of important decisions as possible, including tax implications, are the type of entertainers that tend to stand the test of time.
For those of you who fit that category, including part time entertainers, a recently updated Entertainment Audit Technique Guide was put out by the IRS and is worth a few minutes of time reviewing. Pay particular attention to newly reported:
- tax examination techniques
- unique industry issues
- common business practices