Many successful businesses begin with one person working on a part-time basis.
By starting a sideline business, you get to spend time doing something you enjoy. And, you get to enjoy a treasure chest of tax deductions. Business owners are allowed to deduct all the expenses related to their ventures, including equipment, advertising, subscriptions and business-related auto costs. If you use your home as a base of operations, you may be entitled to valuable home office deductions. And if you handle your enterprise properly, you may even be able to claim a loss on your tax return that can lower the tax you owe on wages, interest and dividends.