Home-based business questions

[BAMARED]

This post might belong in the "Business Section" - my apoligies if this is the case. But here goes anyway: When running your lawncare business from your house, what all can you claim on your taxes and how much do you actually get back, etc. I have heard in the past that if you start claiming all of this stuff and then sell your house, then you have to pay back all of the $ that you had once claimed. Is this true?

Any home-based business advice/tips would be appreciated.

Thanks,

BAMARED

[John Allin]

I don't imagine it will cost you more than $150 for an accountant at your size......

It'll be the best $150 you spend.

[Esby]

I agree, talk to a professional...it's always nice to blame a professional for screwing up rather than yourself.

[jeffyr]

Originally posted by John Allin
I don't imagine it will cost you more than $150 for an accountant at your size......

It'll be the best $150 you spend.


And that $150 is a deduction since it is a biz expense, which brings it down to under $100.

I agree.....go to an accountant who can lead you in the right direction. I wouldn't represent myself in a lawsuit just the same as I wouldn't do my own taxes.

jeffyr

[LawnLad]

Jeffyr - you still would have the out of pocket expense of $150.00 for the accountant - you are just using pretax dollars to pay for it. You only have to earn $150 to pay the $150, instead of paying for it with post tax dollars, which might be $215.00 for the average Joe! I know what you mean though... pre tax dollars are much better.

There are many deductions you can get for operating out of your home. Some are maybe more questionable than others - it depends on how agressive your accountant is and how agressive you want to be. What shade of gray will you operate in? Find yourself a reputable accountant who is familiar with home based businesses - preferrably one that knows the landscape/contracting industry.

[jeffyr]

Originally posted by LawnLad
Jeffyr - you still would have the out of pocket expense of $150.00 for the accountant - you are just using pretax dollars to pay for it. You only have to earn $150 to pay the $150, instead of paying for it with post tax dollars, which might be $215.00 for the average Joe! I know what you mean though... pre tax dollars are much better.


Yes ! You said it much better than I did... you got my point .

jeffyr