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 offline
Senior Member
 
Join Date: Apr 2010
Location: Central Florida
Posts: 1,149
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: 36,519
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: 36,519
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
Leaf removal
madmedic8575
Today 04:14 PM
Today 04:14 PM
by madmedic8575
0 38
new to the forum
madmedic8575
Today 02:52 PM
Today 02:52 PM
by madmedic8575
0 42
hey everyone
robert8509
10-22-2014 08:16 PM
Today 02:28 PM
by biglee
6 201
raking leaves ?
robert8509
10-22-2014 09:19 PM
Today 02:23 PM
by biglee
8 255
Lawn Care business...
crieg122
Yesterday 01:23 PM
Today 01:11 PM
by Steve
4 180
My Newest Toy (B.P....
Dan Tanner
Yesterday 05:50 PM
Today 01:02 PM
by Steve
1 119
Pressure Washing Like a...
TNTurf
08-01-2014 11:47 PM
Today 01:00 PM
by Steve
11 887
12 Years in Business!
Chilehead
Yesterday 08:07 AM
Yesterday 11:08 PM
by Chilehead
2 140
Dealing With Gas Can...
Mr. Mow
10-21-2014 01:41 PM
Yesterday 11:06 PM
by Chilehead
9 341
Cheapskate Landlord...
Mr. Mow
10-20-2014 06:33 AM
Yesterday 05:55 PM
by biglee
13 453
Hi from SoCal
Jmoney
Yesterday 11:29 AM
Yesterday 12:51 PM
by Steve
1 109
Workmans compensation...
CDLAWNCARE
10-15-2014 08:05 AM
Yesterday 12:33 PM
by Steve
5 564
Pda
stevef1201
10-18-2014 02:05 PM
Yesterday 06:12 AM
by ringahding1
4 387
Leaf Box & Loader Set...
ringahding1
10-21-2014 06:20 AM
Yesterday 05:13 AM
by ringahding1
5 283
Hello, from TEXAS
sanchez5
10-17-2014 09:56 PM
10-22-2014 01:27 PM
by Steve
6 457
Organic Lawn Care...
NHray
10-17-2014 06:05 PM
10-22-2014 01:23 PM
by Steve
3 431
Hi Steve From West...
Mr. Mow
10-21-2014 01:59 PM
10-22-2014 01:19 PM
by Steve
1 205
Help a brother...
tbtigers03
09-28-2014 11:41 AM
10-22-2014 08:51 AM
by ringahding1
12 1,571
first year update
cmdlawncare
08-12-2014 05:41 PM
10-22-2014 07:47 AM
by ringahding1
4 1,395
What parts do you carry...
Just for Cuts
10-17-2014 09:08 AM
10-21-2014 01:36 PM
by Mr. Mow
16 702
Jungle to Beautiful
stevef1201
10-17-2014 09:54 AM
10-21-2014 01:26 PM
by stevef1201
11 560
These are the days on...
ExtremeLawncareServices
03-22-2014 09:12 AM
10-21-2014 01:19 PM
by ExtremeLawncareServices
158 11,474
Sunny Beach Tennis...
SGL1
10-19-2014 11:24 PM
10-21-2014 01:04 PM
by SGL1
4 308
Have you ever had to...
SouthernRootsLawnCare
07-26-2014 02:41 PM
10-20-2014 08:34 PM
by biglee
10 1,876
Look out Bob Villa -...
Mr Dave
09-30-2014 10:06 AM
10-20-2014 05:42 PM
by SGL1
7 1,370
how to fi d commercial...
mchampion319
10-19-2014 09:50 PM
10-20-2014 04:41 PM
by Steve
1 273
Hello From Tennessee
mrmann901
10-17-2014 10:02 PM
10-20-2014 04:24 PM
by Steve
1 346
questions on order to...
jack2048
10-13-2014 11:15 AM
10-20-2014 03:27 PM
by Mr. Mow
15 798
This sucks...
Matther777
09-18-2014 04:56 PM
10-20-2014 02:14 PM
by Steve
14 2,259
Cement mixer
KevinsLawns
10-15-2014 08:03 PM
10-20-2014 02:11 PM
by Steve
7 539
Hello ! New guy Rob here
RWorthley1
10-17-2014 04:05 PM
10-20-2014 02:09 PM
by Steve
1 377
Snow Blowing
gwilson98
10-12-2014 02:21 PM
10-17-2014 02:51 PM
by Steve
6 717
Spreading Weeds?
WesleySnips
07-27-2014 09:46 PM
10-17-2014 07:49 AM
by SGL1
6 1,023
Grasswhoopins.com Anyone...
GRASS WHOOPINS
06-21-2011 11:38 PM
10-16-2014 01:30 PM
by ExtremeLawncareServices
42 9,388
I Want to buy old...
ExtremeLawncareServices
10-10-2014 10:04 PM
10-15-2014 09:12 PM
by ExtremeLawncareServices
6 742
Say Hello !!!
Steve
03-19-2007 11:18 AM
10-15-2014 06:43 PM
by NHray
1,190 340,339
Do you find weed eating...
chuck2s
10-15-2014 02:10 PM
10-15-2014 02:10 PM
by chuck2s
0 463
Incorporating &...
WesleySnips
10-01-2014 09:39 PM
10-15-2014 01:37 PM
by kslawn
20 1,564
Falling into business
stellarmowing
09-28-2014 04:35 PM
10-15-2014 05:57 AM
by ringahding1
8 1,574
Apartment Complex and...
lxarth
06-22-2011 01:10 PM
10-14-2014 06:25 PM
by jrs.landscaping
42 9,664
I LOVE hedge trimming
stevef1201
10-13-2014 09:05 AM
10-14-2014 01:06 PM
by Steve
5 598
Help with seeder...
ExtremeLawncareServices
10-09-2014 07:39 AM
10-13-2014 08:09 PM
by ExtremeLawncareServices
5 759
The Market watch
WesleySnips
10-12-2014 08:47 PM
10-13-2014 05:40 PM
by SGL1
3 600
Help pricing a large...
Bradcook21
10-07-2014 06:49 AM
10-13-2014 02:00 PM
by Steve
7 946
leaf removal
Double J LLC
10-03-2014 04:24 PM
10-13-2014 06:46 AM
by Billy Goat
19 1,601
Acerage Rake
acrajchel
04-23-2014 07:23 PM
10-12-2014 10:53 PM
by SGL1
2 916
John Deere z235 Deck
WesleySnips
09-29-2014 06:02 PM
10-12-2014 06:20 PM
by kslawn
25 1,728
Credit card contract
SGL1
10-06-2014 05:31 PM
10-12-2014 03:40 PM
by SGL1
18 1,137
Truck craft dump bed...
ExtremeLawncareServices
10-04-2014 08:41 PM
10-10-2014 11:35 AM
by Steve
7 1,042
First Time River Rock...
berryjam
10-09-2014 06:09 PM
10-10-2014 11:08 AM
by Steve
2 683
» Popular Tags
2wd 4x4 aerocore apartment bid auger billy goat brushcutter bush care charge deliquentaccounts equipment rental exmark ferris foreman four wheel drive fundraiser gopherhaul grass gravely hills holiday how much to charge how to bid husqvarna john deere quik trac kawasaki labor cost landscape services lawn lawn care lawn care business book lawn care business seo lawn care business show lawn care business website lawn care business website seo lawn care seo lawn care website lighting lighting brass outdoor lights managing a lawn care business marketing mowing mulch mulch estimate new buisness ordinance podcast property management company pto push versus ride redmax scag scripts seo shreaded sprayer starting a business starting a lawn care business stihl sulky theft top dresser toro toro grand stand trailer trimmer rack turfgrass consulting walk behind walker wood
Powered by vBadvanced CMPS v3.1.0

All times are GMT -5. The time now is 09:39 PM.


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

All times are GMT -5. The time now is 09:39 PM.

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