Here are some more questions that come up during the hotline, and the recommendations from the CPA's and bankers who were on hand. The chapter recommends that business owners talk with their own CPA for help with specific questions.

Q: Lars of Yorktown is thinking of changing the name of the limited liability company that formed with his wife, who's become less active with it. How does he do that?
A: Forms are available from the New York state Department of State. The agency also has a web site (www.dos.state.ny.us) that includes ways to search for the names of existing corporations, so you don't pick one that has already been chosen. If you're too busy, there are businesses that will do it for you.

Q: The owners of a small home-based business wants to know whether he can deduct the cost of a cappuccino machine as a business expense.
A: It can be done, but be prepared for plenty of scrutiny by the Internal Revenue Service. Taxpayers still have the burden of proving that such expenses are a legitimate cost of doing business. At the very least, the machine would have to remain in the in the portion of your home where you do business. You also would be expected to provide records demonstrating its use as a business expense, such as keeping copies of bills for coffee that was used to provide cups of the brew for visiting clients.

Q: Vince of Passaic County, NJ, is getting married and moving to Rockland County. Should he move his plumbing business out of Passaic and into Rockland as well?
A: The physical location of the business is less important than where the work is being done, if the state governments are getting their share of income, payroll and sales taxes. New York and New Jersey would have claims on their share of such taxes if he preformed plumbing work in each state, but only on the actual work performed in each state. Both states have agreements that provide credits for such businessmen at income tax time so they aren't taxed twice as much for the same work.