Tax Question for you who've been through it

Discussion in 'Business Operations' started by boxoffire, Dec 16, 2004.

  1. boxoffire

    boxoffire LawnSite Member
    Posts: 169

    I'm thinking of saving a little money by going just out of town to a smaller town and let them do my tax return in my first year (Sep 94-Dec 94 only). The lady didn't mention up front consult but to bring stuff in organized and typed up and receipts organized as well. They only charge $125 if you do this. Another guy quoted me at $250 with free consult up front to go over what I need to bring in I guess. I think I'm gonna save a little and have 1 question about maintenance costs to my Jeep. If you declare you business official say in Sep 04, can you report maintenenace you had done on the Jeep earlier in 04 like March 04 and July 04? Curious since I had a fuel pump replaced and brake work also making total fairly high. These are type questions I probably would ask cpa offering free consult up front but since I may not use him, wondered if anyone could tell me that anyway. I'm just going to list everything I can or have questions about for the cheaper tax company and assume they will write all legal deductions in for me.

    Thanks.
     
  2. hockeygoalie

    hockeygoalie LawnSite Member
    Posts: 53

    anything done to the jeep prior to being "placed into service" is not a business expense. If this is your only vehicle, only the miles used for the business are deductable. Its good to go to a CPA at least the first time to help get it right.
     
  3. mbella

    mbella LawnSite Bronze Member
    Posts: 1,284

    Accounting is not an area that I would suggest you try to save too much money. I try to cut costs everywhere I can, but my account is not the cheapest around. A good accountant can offset accounting fees by saving you money in areas others may not. I believe you get what you pay for.
     
  4. gene gls

    gene gls LawnSite Gold Member
    Posts: 3,213

    Its best to go to a CPA to get every thing right the first time, every year.My CPA takes care of all my paper work. I give him the payroll info every month, and a list of all my expences at the end of the year. He tells me what to pay and when or what to expect back. CPA's have to attend a conferance every year for the lattest tax changes.When I was part time, I used H+R Block,didn't know any better.I was directed to a CPA when I started full time and he straightened every thing out,includeing the previous years tax.He went back 3 years into my H+R Block returns,just shook his head at how they prepaired the parer work.I have no quams about paying for his expertise.

    Gene
     
  5. boxoffire

    boxoffire LawnSite Member
    Posts: 169

    10 4, I guess that old saying is true about getting what you pay for. Since it's my first year maybe you are right I should shell out a $100 more dollars to get my moneys worth so to speak. I'll take that into consideration, thanks.

    Adam

    I didn't think maintenance to Jeep would be deductions until after I claimed legit business. Should have done ahead and paid $50 to register company name early since I knew I was probably going to, then had my work done and I would have been good. Oh well, I've got plenty of startup costs to help me out with taxes I'm sure since I only made about 14 invoices from Oct - Dec so far. Think I want a good cpa though to get EVERYTHING I can from uncle sam back. Happy Holidays folks.
     
  6. muddstopper

    muddstopper LawnSite Silver Member
    Posts: 2,342

    Am I reading this wrong, sounds like you where using your jeep for your business before you became legit. If this is the case, even tho you wherenot a legit business, (legit is only paper work), you can still probably deduct the expenses. At any rate, consult your accountant for advice. Best nickel you will spend.
     

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