Laptop Write off

Discussion in 'Business Operations' started by cookedonphonics, Jan 12, 2006.

  1. cookedonphonics

    cookedonphonics LawnSite Member
    Messages: 47

    Hey All...

    I just bought a nice laptop on EBAY for the company.
    This way I can keep my business stuff off of the computer that the kids have access to. :rolleyes:

    The question is... Can I write this purchase off? I would think so since it will be used exclusively for my business, but I just want to be sure.

  2. mtdman

    mtdman LawnSite Gold Member
    Messages: 3,143

    A computer is a listed item, and it has to be depreciated. You can't just expense it or take the 179 deduction. And if I were you, I'd make 100% sure that I didn't use it for anything but the business. I've been told the computer thing can be a red flag with the IRS.

  3. cookedonphonics

    cookedonphonics LawnSite Member
    Messages: 47

    The RED flag is exactly what I was worried about.... :rolleyes:

    The thing was a great deal at only $400 and change and I'm wondering if it is even worth the hassle of writing it off, if it may cause more problems for me....
  4. mtdman

    mtdman LawnSite Gold Member
    Messages: 3,143

    I'm not tax accountant, just passing on what I was told. I would definitely ask an accountant to be sure.
  5. cookedonphonics

    cookedonphonics LawnSite Member
    Messages: 47

    Thanks for the info! :waving:
  6. Fantasy Lawns

    Fantasy Lawns LawnSite Bronze Member
    Messages: 1,912

    When my business bought the business laptop it was $2500 .... used the business Amex & had it depreciated ....due to the cost ...

    Ask a CPA ..... but fore under $500 you do not have to depreciate it ... it's like buying a weed eater ... enter it in to office expense .... keep a copy of the receipt .... tie in the serial number into the entry line if using QB and off you go

    I don't know HOW any business today could survive not using a computer ... let alone software programs such as QB or some sort of scheduling program
  7. Mower For Less

    Mower For Less LawnSite Senior Member
    Messages: 823

    I would not worry about a red flag if it is exclusive to business use as you say. The only main thing about red flags and computers is the IRS knows most people are going to use the computer for more than just business. Expecially if it is the only computer you own. If it is not your only computer, and is truely only used for business, you need not be concerned about any red flags. And even more so for only a few hundred bucks worth of deduction, not likely they will even look twice at it. Take every deduction you are entitled to, dont let red flags and fear intimidate you from what you are entitiled.

  8. Green-Pro

    Green-Pro LawnSite Bronze Member
    Messages: 1,420

    yep, what he said

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