Discussion:Massage therapist laundry deduction

I have a new client who is a massage therapist...not one of those seedy strip mall, soon-to-be-raided types but a real one. Licensed and all.

She does in-home massages, massages actually in her home, and some in a few medical offices around.

She has been deducting $4 per load of laundry while using her home washing machine to do the work.

I have scoured the IRS site, google, this site andd all other avenues--little to no information on the topic. This is a legitimate expense but I can't find any documentation either way. The most definitive opinion I saw was that if the therapist used here home machine, she couldn't deduct it unless she had a separate work and business machine....that seems kind of crazy because homes aren't set up to handle multiple machines.

Anyone run across this?

Thanks,

Michael

happy ending can be messy

I knew better than to ask :)

Actually, when she gives a massage, she uses sheets underneath the person and one to cover the person (modesty sake). They get massage oil and need to be cleaned in between clients. Industry standard.

If she wasn't using her home machine, she would have to go to a coin laundry to get it done.

I read somewhere that a home machine would be classified as a mixed use and therefore not deductible but I can't imagine the owner not being given that deduction.

Thanks,

Michael

Is the .48 per load a standard rate or something? Where did you find that rate?

Thanks,

Michael

Though you would want to advise her to keep her receipts for laundry detergent and water bills to show that they are higher than a 'normal' person would have.

"strategically taking foot out of mouth"....hehehehe

Crow - the cents per load changed last year, $0.49 loads 1-100, and $0.50 loads over 100.

TexCPA 15:26, 8 March 2009 (CDT)

I don't know about that, this lady is pretty square and very conservative. I worked with her to set up her Quickbooks back in the Spring so I am comfortable she isn't pushing this too hard.

So what would your advice be? Cut the per load cost to $2?

She claims 122 loads this year which corresponds to a reasonable estimation of how much she worked. It doesn't seem out of the question.

Michael

Can you point me to that allowance of $.49 and $.50 respectively? What publication can I find that in?

Thanks,

Michael

TexCPA 15:43, 8 March 2009 (CDT)

For those that don't use a laundry service, I have them estimate the number of washes they actually use for the massage linens, and multiply that times what it would cost at a coin laundry if they were to take it there + the oost of the drying machine for each load.

$2/load seems more reasonable, unless there is a specific allowance for it.

I also found the article you refer to about needing a separate washer, but I read it as if you wanted to deduct the washer itself, not the laundry. All the other articles I scanned seemed to imply that laundry deductions were justified, but that they needed to be tracked. As far as how much per load, I didn't see anything in specific, but if I had to do this, I would deduct no more than the amount it would cost to do a load at a laundromat, and track detergent/supplies for business separately. Another article recommended a portion of your laundry costs, but how could you estimate water usage and wear and tear on the washer/dryer - so I found that impractical. Here are some other opinions: https://community.intuit.com/post/detail/bUXlHqrQeqllvkab8P4pmk

And thank you for providing a humorous diversion in the throes of tax season :-)

It was .50 until June 30th in 2008. Loads after then would be .52. Remember, it went back down to .51 in 2009.

Years ago in a personal audit, the auditor questioned my husband about tools he purchased. He was an auto mechanic and provided his own tools. Why would he keep the receipts? Does that make sense to anyone? The auditor allowed the entire deduction anyway since it was his profession, logical and not overstated. I would expect a similar situation with my clients unless we got someone with a real bug up their issues.

I will have her figure out what the laundromat costs would be. I don't feel comfortable with $4, I think that is double what it would cost me but then again, I don't frequent coin operated laundry. I will have her tell me what the local laundromats charge and deduct that in other expenses on Schedule C.

Thanks, Michael

I may not do the most returns in a season, but my clients pay me for a job well done and I make sure I give them more than even that. I may not be the most efficient but I work hard to do everything in my client's favor.

Not busting on you for your comment because I made it myself at times. But I do try to give more than my client's money worth because like any other employee, I should provide a greater value than I am paid. If I don't I can be replaced pretty easily.

Michael