The majority of Personal Trainers and Fitness Instructors in New York are paid in their own names, which requires them to report all income and expenses on Schedule C of their personal tax returns. We find that the majority of these trainers and instructors would benefit from setting up an S Corp or an LLC in order to operate their business at a lower tax rate, enjoy a lower risk of being audited, and protect their personal assets. The Personal Trainers & Fitness Instructors we work with save an average of $2,907 each year in tax while enjoying an audit risk that is approximately nine times lower than it was before they hired us. Some other nuances in the fitness industry that require special accounting and tax treatment include Certficiation Costs, payments for Race Entry Fees and Competition Entry Fees, and properly accounting for the purchase of fitness gear and exercise equipment. Here at Michels & Hanley, we are intimately familiar with these elements and are equipped to help you reduce their annual tax bills. Contact us today to find out how we can help you and your fitness business.
Michael Hanley, CPA
Brian Michels, CPA |