Lawn Care Business Forum Lawn Care Business Book Lawn Care Business Blog Lawn Care Software
Home Forum Contract & Flyer Templates Blog Software Videos Podcast Calculators / Estimators Store Mower Review Design It Yourself Lawn Business School

Go Back   GopherHaul Landscaping & Lawn Care Business Marketing Forum > Business > General Business Discussions

General Business Discussions A place to talk about general business discussions.

Tax write off for house


General Business Discussions

A place to talk about general business discussions.
Reply
 
Thread Tools Search this Thread
  #1  
Old 05-19-2012, 09:45 PM
CHEESE2009's Avatar
CHEESE2009 CHEESE2009 is offline
Dr. Scott - Ruler of the Underworld
 
Join Date: Mar 2009
Location: Switzerland, Grindelwald
Age: 73
Posts: 4,475
Rep Power: 10
CHEESE2009 is on a distinguished road
Default Tax write off for house

Alright, so I'm looking at moving into a new home, but I never considered any space as an office to write off for taxes. Anyone want to explain how it's covered?

Does it go by square footage? Just wanna ball park it.

I'd be paying $1,500 monthly for this house, the office would take up the entire basement living room which I still have to measure out.

How about parking/garage/shed, can that be a business write off too?
Reply With Quote

Stop guess-timating. Learn how to estimate and make money! $$$
Mow Time Estimator Lawn Care Price Estimator Mulch and Topsoil Calculator Snow Plow Estimate Calculator


  #2  
Old 05-19-2012, 11:40 PM
Hedgemaster Hedgemaster is offline
new member
 
Join Date: Jul 2010
Location: Pittsburgh, PA
Posts: 2,772
Rep Power: 0
Hedgemaster is on a distinguished road
Default

Lawn care business tipsLawn Care Business Book
I don't know how it works up there, but here it's square footage of the office space.
Said space is technically only allowed to have business related items in it. If it's your office, you can't have a storage area/shelves for non business stuff in it. If you want to get really technical, you aren't allowed to surf the net from that room unless it's business related surfing.

I do deduct half of my garage space as well.
I'm not sure if an outbuilding qualifies.

You can deduct a portion of your utilities as well.
Reply With Quote
  #3  
Old 05-20-2012, 12:36 AM
CHEESE2009's Avatar
CHEESE2009 CHEESE2009 is offline
Dr. Scott - Ruler of the Underworld
 
Join Date: Mar 2009
Location: Switzerland, Grindelwald
Age: 73
Posts: 4,475
Rep Power: 10
CHEESE2009 is on a distinguished road
Default

Quote:
Originally Posted by Hedgemaster View Post
Said space is technically only allowed to have business related items in it. If it's your office, you can't have a storage area/shelves for non business stuff in it. If you want to get really technical, you aren't allowed to surf the net from that room unless it's business related surfing.
Would anyone make surprise visits to check up on this? If I (for example) have a bag of personal potato chips in my office space, how screwed would I be? lol
Reply With Quote
  #4  
Old 05-20-2012, 05:16 AM
stevef1201 stevef1201 is online now
Senior Member
 
Join Date: Apr 2010
Location: Central Florida
Posts: 1,039
Rep Power: 6
stevef1201 is on a distinguished road
Default

First let me say that you need a qualified accountant to answer this question. I deudct by percentage my office space, garage (exclusivly for mower and equipment storage and repair) electric, water, taxes,etc. This was all set up by my accountant, who as I said earlier you need.

Be very carefull about this.

A very good friend of mine did not do this correctly, and got auditited by the IRS several years ago. He told his wife that he would be going to jail because he cheated on the taxes. To make a long story short, after 8 hours of audit, the IRS auditor told him that home based business is the area of the greatest mistakes made by people. He disallowed several thousand dollars of 'write off' but then did the most unexpected thing. He told Dick that he was getting an addtional 1000 dollars back becasue now his tax write off were correct. He then told Dick TO GET AN ACOUTANT and this would not happen again.
Reply With Quote
  #5  
Old 05-20-2012, 11:16 AM
CHEESE2009's Avatar
CHEESE2009 CHEESE2009 is offline
Dr. Scott - Ruler of the Underworld
 
Join Date: Mar 2009
Location: Switzerland, Grindelwald
Age: 73
Posts: 4,475
Rep Power: 10
CHEESE2009 is on a distinguished road
Default

I have an accountant, I'll be sure to ask him about all this.
Reply With Quote
  #6  
Old 07-11-2012, 09:06 PM
LawnTeam's Avatar
LawnTeam LawnTeam is offline
Junior Member
 
Join Date: Jun 2012
Location: Virginia
Posts: 24
Rep Power: 3
LawnTeam is on a distinguished road
Default Business use of home

I do have an accounting degree. Make sure to discuss what happens when you sell a house that has been used partially for business, with your tax accountant. Also, have a talk with your insurance agent. Homeowners policies generally do not cover business items such as computers and such when they are in the home. Your agent can help you get the right coverage for the space. We learned this the painfull way after a hurricane hit our home and my business space was ruined. Who'da'thunk? I lost my shirt.
Reply With Quote
  #7  
Old 07-12-2012, 02:25 PM
Steve's Avatar
Steve Steve is online now
Administrator
 
Join Date: May 2003
Posts: 36,181
Rep Power: 10
Steve has disabled reputation
Default

Scott,

Another thing to consider is if you use any of those tax software packages, especially the ones that are for small business, they ask you questions about this and walk you right through the process.

Quote:
We learned this the painfull way after a hurricane hit our home and my business space was ruined.
Can you give a little more insight as to how all this played out? I bet a lot of members are wondering how such storms could effect their business without the proper insurance.
__________________
- Subscribe to my Lawn Care Marketing Blog Feed and get daily tips sent to you. Free!
Download your Free trial of Gopher Lawn Care Software.
Reply With Quote
  #8  
Old 07-12-2012, 09:51 PM
LawnTeam's Avatar
LawnTeam LawnTeam is offline
Junior Member
 
Join Date: Jun 2012
Location: Virginia
Posts: 24
Rep Power: 3
LawnTeam is on a distinguished road
Default business items not covered by homeowners' coverage

Quote:
Originally Posted by Steve View Post

Can you give a little more insight as to how all this played out? I bet a lot of members are wondering how such storms could effect their business without the proper insurance.
We had a huge storm come through. The remnants of Hurricane Ida converged with a Nor'Eastr and slammed into us (Nov 2009). A room on the side of our home was used for business only. Displays, seating, supplies, etc. were destroyed by water damage and broken glass. It was a mess. When the insurance agent came to check out the damage, we were shocked to find that the entire contents of the room were uncovered**they were legally business property and excluded from coverage. The damage to our property was so significant that I was essentially out of business temporarily. A neighbor's tree also fell and destroyed our newly completed workshop, a large shed, and the swimming pool was destroyed during clean-up as well. We were unprepared.

As a result, we had to depend on the kindness of others to recover. We were unable to aquire more coverage after the disaster and were left totally uncovered when Hurricane Irene hit in Aug 2011.

We have learned that an oversight and misunderstanding can really cost. The legacy of that disaster is still following me. Make sure your agent is adept at working with businesses and fully understands what equipment you have, who uses it, and where it is stored.

It may sound foolish, but now I try to ask lots of questions, even if I think I understand. I get everything in writing and do tons of research as if it is for one of the stories I cover. I would rather think me a bit dense than end up paying out huge amounts when I could be covered.

Hopefully it won't happen to someone else.
Reply With Quote
  #9  
Old 07-12-2012, 11:07 PM
Apex Lawn & Landscape Apex Lawn & Landscape is offline
new member
 
Join Date: Oct 2011
Location: Pittsburgh suburbs
Posts: 384
Rep Power: 0
Apex Lawn & Landscape is on a distinguished road
Default

Hey Cheddar ! This is off the topic and I apologize... But no more of this depending on the weather to put food on the table. You say your customers pay wether you come or not, how did you go about explaining this to them? Can you give me some advice as to how I should go about doing this? Thanks broham..
Reply With Quote
  #10  
Old 07-13-2012, 11:59 AM
Steve's Avatar
Steve Steve is online now
Administrator
 
Join Date: May 2003
Posts: 36,181
Rep Power: 10
Steve has disabled reputation
Default

Quote:
The damage to our property was so significant that I was essentially out of business temporarily
What a story. I hope others are able to learn from this and keep insurance in mind when they are operating, even partially, a business out of their home.
__________________
- Subscribe to my Lawn Care Marketing Blog Feed and get daily tips sent to you. Free!
Download your Free trial of Gopher Lawn Care Software.
Reply With Quote
Reply

Bookmarks

Tags
home business, tax write off

Thread Tools Search this Thread
Search this Thread:

Advanced Search

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is On
Forum Jump

Similar Threads
Thread Thread Starter Forum Replies Last Post
I Will Write Your Next 3 Ads aduttonater Promote your products or services 0 06-06-2011 10:12 AM
Business article write up Steve Lawn Care Marketing & Post your marketing material for review! 2 04-18-2007 11:25 AM
Write-offs Gopher Software Support Archived Question & Answers - Read Only 4 01-04-2007 08:26 PM
Business Software tax write off article Steve General Business Discussions 0 07-09-2004 10:06 AM
House / Fire House Makeover Steve General Business Discussions 4 06-22-2004 05:57 PM

» Recent Threads
  RatingTitle, Username, & Date Last Post Replies Views
need professional advice...
Fiddlers_green
07-20-2014 07:21 PM
Today 12:42 PM
by Steve
3 115
new to me box truck
jrayb39667
03-06-2014 10:20 PM
Today 12:40 PM
by Steve
15 1,292
Need help determining...
Jbss861
07-20-2014 02:33 PM
Today 12:35 PM
by Steve
10 207
Customer letters
kslawn
Today 06:17 AM
Today 12:33 PM
by Steve
1 20
My First Apartment...
SSLCtn
05-26-2014 10:17 PM
Today 12:14 PM
by Steve
14 803
Should I ?
googus
Yesterday 04:06 PM
Today 12:02 PM
by Steve
2 78
Got my first lawn job...
SGL1
06-11-2014 09:19 PM
Today 11:55 AM
by Steve
26 1,095
Scag new "Eliminator"......
ExtremeLawncareServices
07-20-2014 10:45 AM
Today 11:50 AM
by Steve
8 180
Lawn Service back in...
LawnCareMan280
07-18-2014 09:00 PM
Today 11:48 AM
by Steve
4 165
Overspray?
stevef1201
07-21-2014 04:20 PM
Today 11:39 AM
by Steve
3 80
Hello Everyone! Newbie...
SLKlawn
07-17-2014 06:22 PM
Yesterday 01:53 PM
by Steve
6 203
Proper height for lawn
rob lederhilger
05-26-2014 08:01 AM
07-21-2014 02:53 PM
by LawnDoctor
9 602
Blade sharpener
Just for Cuts
07-04-2014 12:31 PM
07-21-2014 01:48 PM
by Steve
9 437
What's my business worth?
Chaz
07-16-2014 01:35 PM
07-21-2014 01:45 PM
by Steve
4 215
Single tree, mow customer
WesleySnips
06-27-2014 10:12 AM
07-21-2014 01:04 PM
by Steve
12 492
1.5 Acre Jungle
WesleySnips
07-15-2014 05:57 PM
07-20-2014 11:31 AM
by ExtremeLawncareServices
21 508
Selling lawns like...
eastsidelandcare
07-17-2014 03:51 PM
07-20-2014 08:03 AM
by kslawn
1 146
Crop Rotation Techniques...
eastsidelandcare
07-17-2014 03:47 PM
07-19-2014 05:40 PM
by kslawn
1 109
Gopher schedule software
Ray
07-18-2014 04:13 PM
07-18-2014 04:13 PM
by Ray
0 110
2006 Chevy fuel pump...
KevinsLawns
07-17-2014 08:39 PM
07-18-2014 11:51 AM
by Steve
1 113
Halfway point of year!
Steve
07-01-2014 12:08 PM
07-18-2014 11:38 AM
by Steve
14 653
I got told to leave and...
gwilson98
06-16-2014 02:07 PM
07-17-2014 11:43 AM
by Steve
16 963
These are the days on...
ExtremeLawncareServices
03-22-2014 09:12 AM
07-16-2014 08:38 PM
by ExtremeLawncareServices
73 4,228
Hey guys this is the...
prmenter@gmail.com
07-07-2014 08:23 PM
07-16-2014 08:10 PM
by ExtremeLawncareServices
28 700
Mowing the hills
prmenter@gmail.com
07-08-2014 12:22 PM
07-16-2014 05:00 PM
by Just for Cuts
18 635
Say Hello !!!
Steve
03-19-2007 11:18 AM
07-15-2014 05:38 PM
by icon2000
1,184 318,412
need some help geting...
dalvan0
07-13-2014 09:28 PM
07-15-2014 11:56 AM
by Steve
5 215
new trailer help
mattthelawnguy
07-11-2014 08:21 PM
07-15-2014 11:42 AM
by Steve
9 316
Classified Ad Template...
bcfb
06-05-2013 02:40 AM
07-15-2014 11:16 AM
by Steve
15 3,653
Husqvarna pz 60
CDLAWNCARE
07-06-2014 06:50 PM
07-15-2014 08:53 AM
by kslawn
10 390
Lowballers
Chaz
07-11-2014 03:55 PM
07-14-2014 12:27 PM
by Steve
5 322
My new side job
Sprinkler Buddy
05-10-2014 05:23 AM
07-14-2014 12:15 PM
by Steve
10 785
Illegal spraying
GoGreenerKS
07-04-2014 09:11 AM
07-13-2014 10:36 PM
by GoGreenerKS
10 501
New Mower and Trailer
Chaz
06-25-2014 12:04 PM
07-13-2014 06:25 PM
by SGL1
7 503
What Fertilizer to Use?
acrajchel
04-07-2014 01:56 PM
07-12-2014 07:36 PM
by SGL1
21 1,822
Fuel and fuel additives
SGL1
07-06-2014 10:23 AM
07-11-2014 07:53 PM
by SGL1
15 494
Questions for a patchy...
jumcgee
07-09-2014 08:42 AM
07-11-2014 12:34 PM
by Steve
1 175
toro proline blades wont...
boog
06-25-2014 06:26 PM
07-11-2014 05:28 AM
by kslawn
18 605
Contents of Marketing to...
prmenter@gmail.com
07-09-2014 05:25 PM
07-10-2014 03:23 PM
by Steve
3 259
Shindaiwa
CLB454
05-13-2014 09:04 PM
07-10-2014 03:04 PM
by Steve
14 739
Starting New in FL
mmcuttrim
08-06-2010 09:22 AM
07-10-2014 02:44 PM
by Steve
48 11,190
Bid help 45 on acre...
Priggan
06-26-2014 12:56 PM
07-09-2014 08:38 AM
by kslawn
7 480
need help bidding fence...
veteranslawncaresystems
07-03-2014 10:33 AM
07-08-2014 12:00 PM
by Steve
5 343
Trimmer or Knife?
gwilson98
07-04-2014 09:56 PM
07-07-2014 02:41 PM
by Steve
6 311
Started a New Solar Lawn...
Solar Lawn Care
06-08-2013 01:40 AM
07-07-2014 01:55 PM
by Steve
37 7,369
New Canadian Member
coppervalley
07-04-2014 02:15 PM
07-07-2014 01:12 PM
by Steve
1 211
Happy Independance...
stevef1201
07-04-2014 07:05 AM
07-07-2014 01:01 PM
by Steve
2 211
Echo PE 266 edger
stevef1201
07-01-2014 01:28 PM
07-07-2014 12:47 PM
by Steve
4 290
30 Inch Push Mowers Pros...
Billy Goat
06-27-2013 08:07 PM
07-06-2014 01:50 PM
by SGL1
21 5,178
Poulan Pro trimmers
SGL1
06-30-2014 11:16 PM
07-05-2014 09:32 PM
by SGL1
20 488
» Popular Tags
34'' ads blades butterfly gardens charge christmas christmas light hanging credit card customers ditches employee problems exmark fall ferris financing first truck franchise georgia gopherhaul grass gravely growing a lawn care business health holiday how much to charge installation invoice kansas city lawn lawn care business podcast lawn care business seo lawn care business show lawn care business website lawn care business website seo lawn care seo lawn care website lawn care website seo lighting brass outdoor lights marketing mechanic monthly mow mowing mulch price new and restored landscapes new buisness new business organize podcast promotion pto riding mower running a business savannah scag schedule seo social media starting a business start up lawn care business steep lawns stihl sulky top dresser toro toro grand stand tree care trimmer rack walker winter services
Powered by vBadvanced CMPS v3.1.0

All times are GMT -5. The time now is 12:44 PM.


(C) 2011 Riggs Publications - Terms of use & Privacy Policy

All times are GMT -5. The time now is 12:44 PM.

(C) 2011 Riggs Publications - Terms of use & Privacy Policy