Legalities & Tax advantages in a Home Business

LEGALITIES & TAX ADVANTAGES IN A HOME BUSINESS

Every year, several thousand people develop an interest in "going g into business." Many of these people have an idea, a product or a service they hope to promote into an in come producing business which they can operate from their own homes. If you are one of these people, here are some practical thoughts to consider b fore hanging out the "Open-for-Business" sign.

In areas zoned "Residential Only," your proposed business could be illegal. In many areas, zoning restrictions rule out home businesses involving the coming and going of many customers, clients or employees. Many businesses that sell or even store any thing for sale on the premises also fall into this category.

Be sure to check with your local zoning office to see how the ordinances in your particular area may affect your business plans. You may need a special permit to operate your business from your home; and you may find that making small changes in your plan will put you into the position of meeting zoning standards.

Many communities grant home occupation permits for businesses that involve typing, sewing and teaching, but turn thumbs down on requests from photographers, interior decorators and home-improvement businesses to be run from the home. And often, even if you are permitted to use your home for a given business, there will be restrictions that you may need to take into consideration. By all means, work with your zoning people, and save yourself time, trouble and dollars.

One of the requirements imposed might be off-street parking for your customers or patrons. And, signs are generally forbidden in residential districts. If you teach, there is almost always a limit on the number of students you may have at any one time.

Obtaining zoning approval for your business, then, could be as simple as filling out an application, or it could involve a public hearing. The important points the zoning officials will consider will l center around how your business will affect the neighborhood. Will i increase the traffic noticeably on your street? Will there be a substantial in crease in noise? And how will your neighbors feel about this business alongside their homes?