Markets· August 16, 2026 at 12:30 p.m.
Business Owner's Unconventional Tax Strategy Questioned
Key takeaways
- Business owner claims not filing taxes for four years due to tax strategy approved by CPA
- Children can earn up to $15,000 per year tax-free if employed by a business owned by their parent
- Withholding still comes out of a child's paycheck and they must file a return to get it back
A business owner, who claimed to have not filed taxes for four years due to a tax strategy approved by his CPA, was questioned on a financial podcast about the legitimacy of his approach. The strategy involves hiring children as employees and claiming tax deductions.
