Monday, September 27, 2010

Anecdote of the Week

Mi Casa es Su Casa

If you are going to run personal home maintenance and repair expenses through a business, some effort should be made to see to it that the bills in support of those expenses at least reflect business purposes. In this particular case, invoices indicated repairs to and painting of the master bedroom and the kitchen. To help the deceiving process along, there was also a journal entry at the end of each year of several years charging various expense categories for alleged out-of-pocket expenses by the business owner. Not only were there no invoices or other documentation in support of these alleged expenses, but when you added together the various parts of this multiple-part journal entry, miraculously, each year, they added up to exactly $10,000

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