1. Can’t make it to the GIE+EXPO 2017?
    LawnSite brings the trade show floor to your fingertips with our new GIE+EXPO 2017 Sneak Peek video series debuting now in the Lawn Mowing forum.

    Dismiss Notice

Can you deduct home landscape expenses

Discussion in 'Business Operations' started by DFW Area Landscaper, Dec 10, 2004.

  1. DFW Area Landscaper

    DFW Area Landscaper LawnSite Silver Member
    from DFW, TX
    Messages: 2,116

    I am in the process of doing some rather extensive landscaping to my home. Low voltage lighting. Edgestone edging. Irrigation re-route. A few new plants. Paverstone patio. Colorado river rock for mulch throughout all the beds. I'll probably end up spending in the neighborhood of $4,000.00 for materials.

    Can I expense the materials and paid labor on my business taxes?

    My reason (excuse) would be that I need to gain experience in doing installs and this is one way to learn.

    Think it would fly during an IRS audit?

    DFW Area Landscaper
  2. Fvstringpicker

    Fvstringpicker LawnSite Fanatic
    Messages: 7,647

    Not a deductable expense. However, I have rental property and a lot of what is usually and ordinarily personal expenses are rental expense when used on rental property. :rolleyes:
  3. JB1

    JB1 LawnSite Fanatic
    Messages: 5,904

    Sounds like advertising for your business.
  4. mtdman

    mtdman LawnSite Gold Member
    Messages: 3,143

    I would try to sell it to the IRS man as advertising of your services. If you had an office, you could landscape that and deduct those expenses. Sell it as improving your home office to use as an example of your work to potential clients.

  5. TLM

    TLM LawnSite Member
    Messages: 91

    If you try to expence any part of work or office around your house - when you sell your house guess what?? you will be hit with extra taxes. I would not even think of it.
  6. Fvstringpicker

    Fvstringpicker LawnSite Fanatic
    Messages: 7,647

    The "advertising" or the "I'm upgrading my house as a training exercise" routine won't cut it guys. It'll result in loss of the deduction and a negligence penalty.
  7. Evan528

    Evan528 LawnSite Silver Member
    Messages: 2,144

    Buy the materials using a business check or business credit card. How will the IRS ever know the materials are for your home and not for a client?
  8. work_it

    work_it LawnSite Senior Member
    Messages: 976

    Simple answer....you would have to show them an invoice showing that you charged a customer using those materials. If you don't think they'll be looking for it you're wrong. You have to remember who you're dealing with. They're the masters of screwing you out of every hard earned dollar you've slaved for just so they can pad their pockets a little more.
  9. Evan528

    Evan528 LawnSite Silver Member
    Messages: 2,144

    My invoices to clients do not have that much detail. For a landscape installation it will say "Front of the house landscaped and mulched as designs indicate".
  10. work_it

    work_it LawnSite Senior Member
    Messages: 976

    Then you can be sure the IRS is going to want to see the designs where the materials were applied. All services and materials have to be tracked, and any discrepancies will just intice them to dig even deeper.

    Trust me, I hate that the gov't collects 93% of it's revenue from individuals and small businesses while the huge corporations only make up the other 7%. Seems a little backwards eh? I also hate the fact that Congress has voted themselves 3 raises since the beginning of Clinton's administration totalling 140% and are currently proposing another raise for this next session. IOW, they have to make sure they're screwing everyone out of every possible penny so they can live like kings.

Share This Page