Well, here are some. There was a man who, while filling out his tax return, wrote that his hobby of collecting old stamps was a business. He tried to deduct all the money he spent on stamps as business expenses. Then there's the story of a couple who claimed their vacation as a 'business trip' because they had a brief meeting with a potential client while on holiday. Also, a self - employed artist once included the cost of all the art supplies he used for personal projects in his tax return, thinking it was all for business.
Sure. One story is about a guy who tried to claim his pet dog as a business expense because he said the dog 'guarded' his home office while he worked. Another is a person who accidentally put their grocery bill in the tax return instead of actual business receipts. And there was also a woman who thought she could deduct the cost of her new wardrobe for work, but it was clearly just regular clothing and not a work uniform.
I've got a few. A person once put down that they should get a tax break for the coffee they bought every day because it 'kept them awake to work'. Another funny one was a man who listed his Netflix subscription as a 'research expense' for his job. He said he watched documentaries related to his field. And there was a woman who tried to claim her gym membership as a work - related expense because she thought it helped her be more productive at work.
Sure. One funny story is that a friend of mine was filling out his tax return. He accidentally added an extra zero to one of his expense deductions. When the IRS questioned it, he was so embarrassed. He had to go through all his receipts again to correct it, and he learned to double - check everything from then on.
Sure. There was a story about a man who tried to claim his pet dog as a business expense. He said the dog was a'security guard' for his home office. But of course, the tax office didn't buy it.
A rather comical case involved a restaurant owner. He tried to write off an excessive amount for 'food spoilage'. However, when the tax inspector checked, they found that his records were completely fabricated. His excuse was that his staff ate a lot of the food, but that clearly wasn't a valid reason for such a large spoilage claim.
Sure. One story is about a guy who thought he could deduct his pet dog's food as a business expense because he worked from home and the dog 'guarded' his office. Of course, the IRS didn't see it that way and he had to pay back the wrongly deducted amount.
Sure. One horror story could be about people who made a simple mistake on their forms but then faced huge fines. Another might be those who had their returns rejected multiple times due to some minor clerical errors, causing a great deal of stress and delay in getting their refunds.
A small business owner was audited. The auditor found some minor discrepancies in their mileage deductions. But because of the way the IRS handled it, it seemed like a huge deal. The business owner had to go through piles of old records to prove their case. It took a lot of time away from running their business and cost them extra money in accountant fees.
One hilarious story is of a guy who thought his comic book collection was a legitimate business investment and tried to write it off on his tax return. Another is a person who included the cost of a new TV as an 'office equipment' expense just because they sometimes watched the news for 'business awareness'.
I heard about a guy who tried to claim his daily coffee as a business expense because he said he needed it to be able to think clearly at work. Obviously, it didn't fly with the tax people. It's just so comical how people stretch things to try and save on taxes.
I heard of a case where someone's tax preparer made a huge mistake. They misclassified a major expense, which made it seem like the taxpayer owed a lot more than they actually did. It took months of dealing with the IRS to get it sorted out. They had to hire an expensive tax lawyer to prove the error.
One funny tax day story is that my friend was in such a rush to file his taxes at the last minute. He had all his papers scattered everywhere. As he was trying to enter the numbers into the online form, his cat jumped on the keyboard and accidentally submitted the form with some wrong entries. He then had to call the tax office to explain the situation and they had a good laugh about it.