Should I Take the Standard Deduction?
If you are self employed and opt for the standard deduction you are more
likely to be audited. The best way to avoid an audit in this situation is to itemize personal (non-business) deductions.
If your business shows that you have a high gross income but you report that
the net profit is low, suspicions will arise. The IRS will suspect that you are paying for personal expenses with funds
from the business.
