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wifewquestions
10-20-2010, 02:15 PM
I do all of our taxes myself. My husband has just started mowing and does not have a "company", but does have a name. He's probably only made $2000 this year and bought his mower for double that. My question is, how in the world do you file this on your taxes without a business name?
Can it just be somewhere under extra income and how can we do that and still write off for the mower? Thanks.

fl-landscapes
10-20-2010, 03:52 PM
the irs doesnt care if you have the proper bus lis. take the difference between income and expenses, youll have a loss or profit and you can calculate that towards your income. I would suggest consulting an accountant though as well as becoming a "real' company

gasracer
10-20-2010, 08:58 PM
Check with your local and state CPA's. Every state is different and laws change every year. I know that you just take what you made(make sure you have records in case the IRS pays you a visit) and subtract what you spent(keep every receipt) . You can take equipment all at once or over 5 years.As long as you are a sole proprietor it isn't a big deal.

Roger
10-21-2010, 07:20 AM
"Name" isn't the issue, but rather how you have chosen to operate the business. You must have chosen to be sole proprietor.

If none of this makes sense, then you need to work with a CPA. You may have a long list of expenses that qualify for deductions, ones that you don't understand and are unable to take advantage. A good CPA is worth the cost in terms of knowing how to best establish your business, deductions, etc. The average person is unable to understand enough about the tax codes to navigate those waters.

AI Inc
10-21-2010, 07:23 AM
"Name" isn't the issue, but rather how you have chosen to operate the business. You must have chosen to be sole proprietor.

If none of this makes sense, then you need to work with a CPA. You may have a long list of expenses that qualify for deductions, ones that you don't understand and are unable to take advantage. A good CPA is worth the cost in terms of knowing how to best establish your business, deductions, etc. The average person is unable to understand enough about the tax codes to navigate those waters.

What he said.

lawnman_scott
10-21-2010, 07:58 PM
I will go out on a limb and say he is a sole prop. Fill out schedule c, and se with your 1040. Think about getting what you need locally to be better set for ext year. Thr IRS isnt concerned with name or anything like that as long as they get their cut.

bohiaa
10-23-2010, 08:58 AM
DONT DO IT...

Leave it alone. he has NOT been charging tax on the work he has preformed. so they would come back at him for that. get ligit next year. by trying to claim this mower you would cost yourself thousands.

JB1
10-23-2010, 09:23 AM
if all I made was $2000 dollars , I would not do it and forget about it.

gasracer
10-23-2010, 09:27 AM
As long as you make a invoice on all your work and pay taxes on that amount. You add your taxes into what you charge knowing you will have to pay them.I record all check numbers and keep deposit tickets.The IRS doesn't care if you charge taxes but you just have to pay them.
You can deduct the mower,mileage,repairs,fuel for the mowers all off your taxes. Since you didn't make much you can file as a lose for the year.
You can risk not filing taxes but if you ever get audited they will pick your life apart.....
Before you ask this is Per my accountant.

CLARK LAWN
10-23-2010, 10:05 AM
DONT DO IT...

Leave it alone. he has NOT been charging tax on the work he has preformed. so they would come back at him for that. get ligit next year. by trying to claim this mower you would cost yourself thousands.

were did she say he wasnt charging tax? andhow do you know that it is even required were they live?

bohiaa
10-25-2010, 01:01 AM
I do all of our taxes myself. My husband has just started mowing and does not have a "company", but does have a name. He's probably only made $2000 this year and bought his mower for double that. My question is, how in the world do you file this on your taxes without a business name?
Can it just be somewhere under extra income and how can we do that and still write off for the mower? Thanks.

DOES NOT HAVE A COMPANY....

that's where she said it..
and YES you have to collect taxes.

Does NOT have a Company
that's where she said it again....

any more questions ?

Fvstringpicker
10-25-2010, 04:13 PM
Fill out a schedule C, using his SS number in the appropriate block. Additionally you will need to fill out a depreciation schedule to support the depreciation claimed on line 13 of schedule C. The only thing that may cause you a bit of a problem is expensing equipment under section 179. The amount of equipment that may be expensed under 179 is limited to his taxable income from his business before considering any amount expensed under this election. IM me if you have a problem. Like I tell my students, don't fight what the line on the tax form tells you to do. My suggestion is to buy $20-30 tax software such as TaxAct.

CLARK LAWN
10-25-2010, 07:39 PM
DOES NOT HAVE A COMPANY....

that's where she said it..
and YES you have to collect taxes.

Does NOT have a Company
that's where she said it again....

any more questions ?

what taxes? sales tax is the only one you have to COLLECT and that varies from state to state.