# @edwardcollins_upleveled on Instagram

- **Type:** Video
- **Original URL:** https://www.instagram.com/p/DMN1QdIxIr1
- **Gondola URL:** https://gondola.cc/posts/35104081-edwardcollins-upleveled-instagram
- **Thumbnail:** https://img.gondola.cc/tr:w-,h-,fo-auto/postThumbnails/46d5ff156b.jpg
- **Posted:** 2025-07-17T16:47:45.000+00:00
- **Account Owner:** Edward Collins | Money Lawyer & Wealth Strategist (@edwardcollins_upleveled) — https://gondola.cc/edwardcollins_upleveled

## Caption

You Don’t Get to Define ‘Ordinary & Necessary.’ 

The IRS does. 

And if you get audited? 

So does the court. 

Let’s unpack this 👇 

Section 162(a) of the tax code allows you to deduct: 

➡️ Ordinary expenses. 

➡️ Necessary expenses. 

…as long as they’re tied to your business. 

But here’s where too many business owners (and social media tax “experts”) miss the mark: 

You don’t get to decide what’s ordinary. 

You don’t get to decide what’s necessary. 

And you absolutely don’t get to decide what’s reasonable. 

That’s defined by: 

⚖️ The IRS. 

⚖️ The Tax Court. 

📚 Decades of precedent. 

Let me simplify it: 

✅ Ordinary = Common in your industry. 

✅ Necessary = Helpful for generating revenue. 

✅ Reasonable = Defensible under audit. 

Here’s a real-world example: 

You run a bakery. 

Buying an oven? 

✅ Ordinary. 

✅ Necessary. 

But what if you already own 12 ovens… 

…and you buy a 13th — 

with nowhere to install it? 

🚫 That’s not reasonable. 

And that deduction likely gets denied. 

See the difference? 

Tax law starts with the Code. 

But it doesn’t end there. 

You’ve got to know: 

📜 How the IRS interprets it. 

🧑‍⚖️ How the courts apply it. 

🧠 And how to position it within your specific fact pattern. 

Tax strategy is not just about reading the rules. 

It’s about knowing how the rules get enforced. 

Drop “GOB” if you want to learn how to play the game of business the right way. 

Credit (TikTok): 
Karla Dennis – [Karladennisinc] 

 SF0709

## Stats

- **Views:** 898
- **Likes:** 139
- **Shares:** 0
- **Comments:** 5

## Credits

These are the roles credited on Gondola. Credits may be incomplete.
A brand, account owner, or featured person is not necessarily the creator.

| Name | Username | Profile | Role |
| --- | --- | --- | --- |
| Edward Collins | Money Lawyer & Wealth Strategist | @edwardcollins_upleveled | https://gondola.cc/edwardcollins_upleveled | Talent |
| Hector Garcia | @Hector_FilmSchool | https://gondola.cc/Hector_FilmSchool | Content Producer |

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