Rock stardom does have its tax incentives. Since you're in the business of being cool, lots of cool things are deductible business expenses. ''You have your professional viewing, which is going to see shows,'' says Marcia Hyman, accountant with New York City's OSB Business Services, tax advisers to some of the top alternative bands, including Pavement and Yo La Tengo. ''You have your lessons and cable TV, because it's very necessary to watch MTV. There are numerous music publications. And you can deduct drinks with your band.'' As for stage duds, ''If it's part of your 'look' and not what you wear every day, then write it off.''
Being a creative professional allows for more unusual deductions, though a little chutzpah doesn't hurt. For example, Gene Simmons (not an OSB client) was arrested for mooning the crowd at a North Carolina Kiss concert in the late '80s; the following April the Kiss company wrote off his bail bond.
There are, of course, limits. A clear no-no is expensing drugs, although many have tried. One OSB accountant worked with a band with hundreds of tour dollars mysteriously attributed to ''Bob Hope'' and ''towels.'' The items were disallowed.
Despite the nonchalance one might expect from today's slacker rockers -- ''We used to get bags of receipts mixed with guitar picks,'' says Hyman -- OSB reports surprising fiscal responsibility. The alternatives are grim. ''I've seen people go from $10,000 one year to $200,000 the next,'' says Hyman. ''They don't think about the tax implications and get hit hard the next year.''
Pavement bassist Mark Ibold is a case in point. After a particularly painful visit to the dentist of dinero, he now keeps careful records. ''[Marcia] told me I had to pay. A lot -- '93 and '94, plus penalties,'' says Ibold. ''I tried not to cry. She offered me some chocolates. That helped a bit.''
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