View Full Version : Tax deductions

Patrick Gant
02-23-2007, 04:05 AM
Can my customers claim lawn care on their taxes as a deduction?

02-23-2007, 08:00 AM
Of course they can. If they're a business, they will send you a 1099 (misc. income) no later than January 31st.

02-23-2007, 03:52 PM
If it is a commercial property, you can be sure that it's a business expense, and they will deduct it.

If it is residential, and the homeowner uses a portion of his home as "home office" space he may deduct the equivalent percentage of home services as an expense.

Example......if 10% of his home is used soley by his business and for no other purpose he may deduct 10% of:

Carpet cleaning
Lawn Service

But, he has to prove that portion of his home was purchased for the purpose of running a home-based business, and that's ALL it is used for.

If your customers are asking these questions, they should be asking their accountant!

Patrick Gant
02-26-2007, 03:49 AM
Thanks Guys

Patrick Gant
02-26-2007, 03:50 AM
Thanks Guys, sounds good.

02-26-2007, 09:22 AM
What if the company is paying for it so that they can put in more hours at the office. Then the homeowner/business owner should be able to write off the entire amount.

02-26-2007, 07:39 PM
I run my lawn business out of my home. Can I deduct a % of it?

02-26-2007, 08:33 PM
Yes, figure the square footage of your office bring it up to your accountant they can give you the deductions from there, I believe you can also do it in Turbotax

02-27-2007, 01:36 AM
Yes, you can deduct a portion of your home as business. Additional things you can deduct, not metioned above:

Interest paid on your home (Form 1098)
Upgrades that benefit your business space (carpeting, remodeling, new furnace, roof, etc.)

Other questions: Can your customer deduct lawn care as a means to reduce the number of hours at home and spend more at the office. NO! I guess you could, but you would have to prove that caring for your own lawn is the reason that you can't be as productive at work....and they would still audit you for that one and laugh the whole time. You could go on and on with services that provide you more working hours if they let you do that!

Auto washes/detailing
Carpet cleaners
Carpet installers
Cooks - additional meals out with your family
dog walker
molly maids

Basically, anything hired out could be deducted....I don't think that'll fly

03-06-2007, 06:49 PM
what is the average % of business should a landscaper claim he does at home?

03-06-2007, 07:15 PM
Be careful fellas. Deducting for home offices has become so abused, it often sends up red flags at the IRS. If you ain't using an accountant, I think it would be crazy.

03-06-2007, 07:23 PM
that last post is right on..
I work for my accountant during the winter months, and I wouldn't get caught dead around my corporate taxes unless it was to answer a question my accountant might have for me. I just give them my quickbooks and any other pertinent info and away they go. No owe, no owe, no owe.

03-09-2007, 12:19 PM
I run my lawn business out of my home. Can I deduct a % of it?

As was specified in a message just above your question here, you can deduct a % of your home if it is ONLY used for your business - in other words your PC set up in a corner of the living room does NOT make your living room a home office (you use it for personnal space too). It has to be a dedicated space.
The enclosed front porch of our house is strictly parts, tools (grinder, compressor, etc - we don't have a shop) and small supplies for the business... That porch square footage is listed as "business use of home". The room with the filing cabinets and computer is not, because it also has the kids' computer, household stuff (and it would increase the % we claim from previous years, which would definately red flag our return)

Having been red flagged twice: don't list "bad debt" if you do cash accounting, and don't bother claiming an insured loss (wrecked trailer, got partial insurance refund).
Even better, get an accountant - they love to nitpick the little DIY guys.
I know firsthand...(the math was right, but it is such a pain in the butt!)

03-09-2007, 12:31 PM
If your "home office" is in the basment then it is not deductable. Basments are not considered living space so you cant deduct it even it it is finished.