Thread: Reporting Cash
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Old 01-25-2006, 09:11 PM   #1 (permalink)
ltaylor
 
Join Date: Jan 5 2006
Location: georgia
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Reporting Cash

The salon I'm thinking of purchasing had revenue of 59K last year. The owner told me that 60-70% of the tanning business is cash and the 59K is what was reported to IRS. So he told me to use a low ball # of 30% and that should tell me what the actual revenue is. I can't survive on 59K but if there is an add'l 30K in cash that he's not reporting then maybe it's an option. Does this sound correct? I wouldn't want the IRS on my butt so I would want to do it the legtimate way. I'm just trying to find out what the actual revenue for this business is. Can anyone help me?
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