What would you say to me if I told you that your house payment, your property taxes, your utility bills and all the supplies you've bought to take care of your home are not "expenses" but, rather, they are in reality "income?"
Would you think I'm just a bit misguided or would you think even worse?
The reason I ask is exactly what just happened to me. I recently underwent a "review" for the purpose determining payments.
Now the unbelievable part. I own several rental homes and somehow, some way, all of the expenses just mentioned suddenly are really not "expenses" but they are counted by Huron County Job & Family Services who did the review as "income."
So my actual business "income" quadrupled and took my payments with it. Can you imagine being told that "property taxes" or "house payments" are, really, income? How would you feel?
Now, I'm not picking on the women who work at JFS, they have a tough job. However, their interpretation of the law, which clearly states that "ordinary and necessary expenses incurred in generating gross receipts..." in a business are deductible, is vastly different from reality.
What is more "ordinary" or "necessary" in owning any property than the payment or the taxes? Have you ever once thought of those things as income?
Of course, there is an "official" explanation for these "incomes."
Naturally, I've tried going above the local JFS heads to Columbus. The lady was real nice on the phone. She agreed wholeheartedly with me that this is a travesty of justice. Then, her apartment sent me a real nice form e-mail basically wishing me luck with my "legal problem."
And you thought "government" was there to serve the people, didn't you?
Surprisingly, I do feel our local JFS service women deserve a promotion, though. Think about it, if we would get them to Washington D.C. using their "math," the federal deficit would be paid off ... instantly.