krn3115

hey guys im not saying i want to open a school now but i have a question is it illegal to run a school out of your home and just recive cash would i have to pay taxes?? what if i had like over 30 students... answers please

cakegirl

Tax law varies depending what country or even what state you are in.

I imagine, though, that your school would be a business regardless of where you trained, so you would have to pay business tax. On the upside, you may be able to claim as business expenses any money you spend on your own training, equipment, uniforms, etc.

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Scott Bolinger

you'll have to keep trackof the money you make and the expenses and know what's tax deductable. If you file for a incorpation , sole propriotorship or non-profit , then you may need to get a tax ID for your business. But to have a karate studio in your home, you'll need to get a permit from the city to run a business from you home. I think it's called a home occupancy waiver. If your allready zoned commercial, then you wouldn't need a waiver. Then it would be a good idea to get yourself insured as a coach, and then get liability insurance for your business. And the best price i've seen on that is from the AAU .

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Author of "WarriorRage KickBoxing by Scott Bolinger"
www.WarriorRage.com
President of The WarriorRage KickBoxing Federation
www.wrkf.us

Danny Flucke

If you own your home -

Be sure to set up a "Family Trust".

A trust shelters all your assets from legal proceedings.

And remember -

You should not only be protecting yourself from students getting injured -

But also structuring your training outlines to include the proper use of force -

So you can disallow any claim that you taught only the "tactical" side of M.A.'s -

And ignored the practical applications of the punches/kicks/locks/throws/etc...

Thanks, Danny

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When our clients call with news of their "victory" - We always ask them what they did wrong in avoiding and/or defusing the threat...

Danny Flucke - www.4Seconds2Safety.com