Discussion:Write off question
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Discussion Forum Index --> Advanced Tax Questions --> Write off question
Discussion Forum Index --> Tax Questions --> Write off question
| 18 December 2007 | |
| One of my stellar employees in my LLC had a little mishap with my van over the weekend. The van was listed as my personal vehicle and had an approximate value of $2000. Rather than report it to the insurance as I have a $500 deductible, I would like to scrap the van and take it as a loss. From your opinion, is this possible and the best route to take? | |
Death&Taxes (talk|edits) said: | 18 December 2007 |
| If I recall, to deduct it as a personal casualty loss, it is required a claim be submitted. | |
| December 18, 2007 | |
| Presuming that it was indeed used in your business and treated as such, I'd take it as a biz loss. | |
| 18 December 2007 | |
| Forget tax accounting - you are playing with dynamite by not having a commercial policy. If your employee had killed someone I am sure your carrier would not cover the loss after learning the facts. You are also vulnerable to your employee suing you. | |
| 19 December 2007 | |
| Every dog gets one free bite, that was your free bite, you've had your savings. Now, reconsider what you are doing going forward. The next mishap could be the mayor's grandma wiped out, I say that because one of my highschool friend's plumbing co around 1986 if I remember... Never a good idea to tempt fate. | |
| 19 December 2007 | |
| On the same note - clients coming to my home office often back into my garage door when they are turning their cars around. My home office is 1/3 of my house but I would like to deduct 100% of the garage door repair costs.
Any thoughts? | |
Donniecastleman (talk|edits) said: | 19 December 2007 |
| Can you just leave the garage door open? I was hell bent on the 33% deduction but now thinking about it, you may have a point there as it was incurred during the production of income at your home office, what if someone at a client party at your backyard pool hurled in the pool? Would you write that off in total because it was a client that hurled in the pool and not one of the kids? I'm thinking that it's a cost of doing business, of course I wouldn't let anyone park in my driveway anymore, so I don't know, it's late and I'm rambling. I'd put big orange cones in front of your garage and write those off as an instruction or assistance to clients that can't see worth a damn! | |
PHIL MOODY (talk|edits) said: | 19 December 2007 |
| You and stellar employee have disagreement over the amount of pay......, year from now.
Yep, sue your for $____________(highest number you can think of, plus 1). Guess what, you, trying to save $500 did not report the "mishap" to your insurance company. Insurance company now says you are on your own. (They usually require reports within a certain number of days). | |
| 19 December 2007 | |
| I knew I'd get some amusing answers. The orange cones are a great idea, plus good marriage-wise - I'm in hot water since hubby has a back ache from replacing the damaged door. | |
Bottom Line (talk|edits) said: | 22 December 2007 |
| Forget the cones. If they can't see the garage door, they won't be able to see the cones which would be down low. How about painting the garage door orange? | |
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