Discussion:Sole Proprietor Business Expenses
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Discussion Forum Index --> Advanced Tax Questions --> Sole Proprietor Business Expenses
Discussion Forum Index --> Tax Questions --> Sole Proprietor Business Expenses
| 15 July 2008 | |
| a Sole proprietor with an non quailify home office. Is it possible for him to deduct office supplies such as tissues, pens, and office expenses such as cell phone bill, trash can, and office meals...? He also owns a truck and want to deduct the auto insurance. i am worry about he actually use large portion of those supplies for personal purpose. he only makes around 3000 for the year. can i ask him to estimate the percentage of business use for those expenses and deduct it? | |
Donniecastleman (talk|edits) said: | 15 July 2008 |
| Hmmmmmmm, read publication 334 (I think that's the correct pub), I'm not making a judgment call on your expertise but definitely read all you can to get more informed and the answer to these questions will jump right out at you, good luck on taking the EA exam, it's well worth studying for and passing. | |
| 15 July 2008 | |
| some of the above are "listed property" as well...so as Donnie says, read the publication and take special note of listed property deductions and how they impact deductibility.... | |
| 16 July 2008 | |
| court exam? you need recommendation from two lawyers. anyway, should i believe my client if he don't really have an office, but claim that he brought tissues from Costco for business use. | |
| 16 July 2008 | |
| what does your client do that his home office is non-qualifying? That seems odd to me. taxea | |
| 16 July 2008 | |
| he does his work at home but the area is not exclusively use for his business. | |
Death&Taxes (talk|edits) said: | 16 July 2008 |
| I do not deduct my home because, as an employee, the space is too small to make a difference but if, for example, I moved the hot/cold water dispenser into this office, would that make it deductible? Of course not! Why not? How could I prove that its use was only for business? Ditto for the box of tissues that sits on the bookcase to my left. Pens? I would think there would be an a priori assumption that these are used for business, since there are no children in the house to take them to school, but then I bet if I checked my wife's pocketbook, I would find a pen or two. (actually my pens come from my bank, free) How about Double A batteries?
What I am thinking here is this discussion resembles the angels dancing on heads of pin queries. Questions like this from a client would only tell me how petty there were, and I'd probably expect my fee to be questioned. | |
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