How Many Producers File Taxes on FP for Beats Sold

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Kendall143

New member
How many producers on (FP) actually filed a DBA for their Production Name?
How many actually filed taxes for their company for the beats they sold.


With the new tax laws coming into place....
http://atr.org/four-small-business-tax-hikes-obamacare-a6788

How many are gonna just skip it and (Just say **** It)



Kendall's Tip:

Did you know you get hit harder as a 'sole proprietorship' /than when you make your Production Company a corporation. Also have you thought about protection for your production company in case some tries to come after personal assets.


Just wondering how many producers on Future Producers..... are really serious about music to the point they have invested/focused correctly into their production brand.


Or is this just too heavy a topic to talk about on here.
 
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Hiphop is known to never focus on the real issues that effect them.
We can talk about B.S. all day ....but never the stuff that really will effect our business,


Hip-Hop Producer Sean Garrett’s Wages Garnished To Cover Tax Debt



501055-sean_garrett_617.jpeg



Hip-Hop Producer Sean Garrett’s Wages Garnished To Cover Tax Debt




Former Cash Money Producer Talks About Not Taking Care of Business




images.jpeg

http://minorityfortune.com/liabilities/former-cash-money-producer-talks-about-not-taking-care-of-business/
 
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Lessons Learned from Mannie Fresh

1) Make your contracts the blueprint.

Keep business and friendship separate. So much so that you draft a contract with all expectations written down and have it briefed over with a lawyer. With Mannie Fresh, his contract was surely written differently from his expectations. Otherwise, he could easily go to court to get what was promised to him. Since he failed to negotiate his earnings based on friendship and trust, he was screwed.



2) Keep the future in mind.

Know that money changes people. Once again, your good friends may have been reliable and loyal when they had little funds and fame. However, people can change and get greedy once they become famous. Plan for that by having a contract that addresses future changes with clauses that meet your expectations. If your friend wants to ditch you once they become famous, create a buy-out clause to address this possibility.



3) Never skimp on lawyers.

If you want the best possible solution for yourself, you need the best possible representation. Don’t have friends look over your contract for you. Make sure you have a non-biased professional third party to look over your contract and negotiate on your behalf.



4) The Entertainment Industry is a business.

Artists, actors, etc. can forget about business as they are blinded by their hunger for fame and attention. However, everything that will happen to you does stem from the contract you sign. Therefore, do the due diligence. Read up on people who were once in a similar position, got screwed by their contracts, and learn from what they had to say on the lessons they learned.



In the end, everyone’s looking out for number one. Make sure that you are too.
 
Anyone who has a 9-5 and has a lot of music expenses better be writin that shit off!!

I made up a number as my income honestly, about 97% of my clients pay with cash. Hope you dont work for the IRS.
 
The money I get are gifts. I don't run a business. Dudes on soundclick with nice graphics and your prices all over the place....what yall got to say?
 
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So you just report a loss.. each year?




---------- Post added at 08:21 AM ---------- Previous post was at 06:55 AM ----------
901_Rice_Street said:
The money I get are gifts. I don't run a business. Dudes on soundclick with nice graphics and your prices all over the place....what yall got to say?
Click to expand...

You don't consider your production work as a business?
So you do it as a hobby.
 
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of you suppose to write off things
file taxes
make sure you have a home office
save on heat/gas/mortgage bills
if you have the money go LLC
but sole proprietorship is fine if you're not sampling and doing things where you put your personal assets at risk

look into getting a tax advisor to help you each year
best $200-$300 you'll spend
this is if you actually invest in your business
you can get education costs written off as well as it for your business needs
also check out getting creditable accounting software some of it's for free
I did some accounting for my Church Home back in 2007 when I was out of work

4 steps to make your business legal




-Coach Antonio
"Let Me Handle your next Praise Party"

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Being young you just don't think of these things.

There is a lot of good things for producers /if they would structure their business right.
Money is out here. But if you spend your time focusing on the B.S.
it will pass you up /to the kid thats paying attention.


Doesn't seem like to many people on here are focusing on music being a career.
Looks like most on FP are just fans of HipHop/ till that other thing they are doing pops off.
 
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Kendall143 said:
So you just report a loss.. each year?



You don't consider your production work as a business?
So you do it as a hobby.
Click to expand...


Like 90% of people. People can lie and front....spend the money on an official name, sign checks to their selves all day..... receive royalties and all of that shit. But if a regular job pays more money than what they make doing music....then what are they? If a person not making 30k or better from music...they can shut the "I don't do this as a hobby I run a music business" talk up.

Job and extra money from music > industry bullshit. Less stress. And it beats cutting people's grass for extra money also.

And who knows what may happen to the hobby "songs" I produce. Who knows....I might jump on this got damn mic right now and get 10 million views on youtube. Quit my job because I'm on.

The industry ain't shit. People have a lawn business. Guess what? They have to worry about the equipment, the storage, the workers, keeping customers, finding new ones. Then their are people who cut the grass for free in the neighbor because they are good people...just love their lawn mower that much. And people pay them for it even though they don't charge to do it. No stress, no worries.

I have plenty of mixtape placements on shit with well known DJs.....btw. On some hobby shit. It's nothing. Didn't pray about it. Just looking out for nigga and they finally tried to get out there.

Forget money......what's money? Something to make.
 
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Man, WHAT THE **** ARE TALKING ABOUT? LOL
you went straight left. This is not about the industry.

This is about taxes and your business.
Even if you have a job, you would still need to take care of stuff like this.

A little Comprehension here...
 
I think my post explains my tax situation exactly. When you receive "gifts" you don't have to worry about it. When you on soundclick and have a sign saying $20 lease and you making 15k a year......you better have all of your shit right to go with it...because you are not receiving "gifts".........or money giving to you as a "thank you, I would like to give you something". Two different things there my dude. People need to know the difference because they might start making enough money "as a business to push them to a pint of having to pay and it catch up with them later. But if a person walks up to you a few times a month and says...here is $200 for those shoes you were talking about. Here is $100 for those headphones. Here is $300 for that software. Here is $400 for that computer. Big difference.

And it still doesn't stop the potential money of who I work with. So when that comes to past....then it's tax time..."UNDER MY NAME". Not a "company" and none of that shit.
 
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re

I know some girls who dont get paid for being hoes they just get gifts. anyway, I expense everything i can and still keep it legit. Ive had the IRS on my ass in the old days and It worked out but it wasnt all that fun.
 
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Yea, its not fun. Especially, when you show profits. The most I had to pay them for a tax year was around $46,000.

Now with the 'new tax laws' that Obama's put in place, The tax rate goes up for anybody self-employed.
So that means the 'self-employment tax' is getting bumped.

If you have anybody's working for your company the 'medicaid ta'x is making it worst too.

But, I know most producers only have themselves...few have assistant starting off.

I highly suggest getting into incorporating your business to get those tax advantages.
Otherwise, you will be paying them a lot more.

---------- Post added at 12:03 PM ---------- Previous post was at 11:58 AM ----------
901_Rice_Street said:
I think my post explains my tax situation exactly. When you receive "gifts" you don't have to worry about it. When you on soundclick and have a sign saying $20 lease and you making 15k a year......you better have all of your shit right to go with it...because you are not receiving "gifts".........or money giving to you as a "thank you, I would like to give you something". Two different things there my dude. People need to know the difference because they might start making enough money "as a business to push them to a pint of having to pay and it catch up with them later. But if a person walks up to you a few times a month and says...here is $200 for those shoes you were talking about. Here is $100 for those headphones. Here is $300 for that software. Here is $400 for that computer. Big difference.

And it still doesn't stop the potential money of who I work with. So when that comes to past....then it's tax time..."UNDER MY NAME". Not a "company" and none of that shit.
Click to expand...


This is more on topic. When you put it under name. You get hit harder than having yourself work for your company. As an employee
 
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Money........something to make. I don't stress it until it is time to stress it. Not trying to get beat out of it. But anybody at any given money that is putting music out there can end up in the tax stress situation immediately. So it's good to know where you stand now and what you need to do when the big dollars roll in. Otherwise.....acting like a business and not even bringing in enough money yet you filling is just a waste of time and basically giving money away for no reason.

---------- Post added at 08:26 PM ---------- Previous post was at 08:17 PM ----------
When you put it under name. You get hit harder than having yourself work for your company. As an employee
Click to expand...

True......
 
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901_Rice_Street said:
Money........something to make. I don't stress it until it is time to stress it. Not trying to get beat out of it. But anybody at any given money that is putting music out there can end up in the tax stress situation immediately. So it's good to know where you stand now and what you need to do when the big dollars roll in. Otherwise.....acting like a business and not even bringing in enough money yet you filling is just a waste of time and basically giving money away for no reason.

---------- Post added at 08:26 PM ---------- Previous post was at 08:17 PM ----------



True......
Click to expand...

I guess... I'm speaking more to the producers that are really active.
Cause, I get checks from companies.. So ,you have that w9 and 1099 in place.
That gift stuff won't fly. Also, if the people you are selling beats to file taxes.
....It can become an issue later for you.... that you don't want.

There is a paper-trail.....the bigger you get in this game.
or the more you start really get going.

That is how I can distinguish the producers on here from the ones that are truly taking this serious.

The ones who don't spend more time on the B.S. and ignore the threads where the real game is.
That can really help them later on or even now.


Producers on FP are not aware that they can have money to do things for themselves if they set themselves up legitimately There are options to take when you become a legit business.
 
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Kendall143 said:
So you just report a loss.. each year?[

I reported 2 years loss (amended) last year against my 9-5 income, all studio equip, rent, etc. and got some bank back (DEF worth the $300 tax advisor fee). Now im full time and ill be claiming very little income, just enuff to keep the tax man off my ass.

Did you say you PAID 46k in taxes? If so nice.
Click to expand...
 
I recently filed an LLC and now I am wondering if I need to get a DBA for my producer name or if it is ok to just state the business name in my contracts with my clients? I'm still in school with a part time job and everything I do is self funded. I am trying to make this my career. Some one with knowledge on my situation help me out here. I have also registered with ASCAP as a songwriter and a publisher with my LLC.
 
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