Why are business expenses deductible from income, but someone’s basic living expenses aren’t deductible from personal income?

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Why are business expenses deductible from income, but someone’s basic living expenses aren’t deductible from personal income?

In: Economics

22 Answers

Anonymous 0 Comments

Your living expenses don’t contribute to you earning income. Or at least not most of them. 

I mean some are, which are what you can deduct (like a laptop you use for work, or clothes, or whatever). 

But you grabbing 8 pints and 4 burritos at 3am on Saturday aren’t really for work purposes. 

A business basically doesn’t have personal expenses (because it’s a business) so basically all expenses are deductible (and even more depending how good your accountants are). 

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