This just in: The IRS SUCKS!!!

[gearsoup]

So, for the last 10 months, my biz. partner and I have basically given up every bit of our personal lives in order that our shop succeeds. We have paid ourselves just enough to get by, we have paid down the equipment a lot more than needed, etc. etc.

We wanted to make sure we had a nice buffer in case work slowed down.

Our accountant called the other day. He was doing some projections. If we continue at the rate we are going, we are going to have to pony up somewhere around $25k in taxes, come next April...

Time to start looking for deductions...

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[4WRXter]

One more beatiful aspect of being in business. There is a fine line between having deductions and not overspending. I suspect your accountant has set-up or told you to set-up quarterly payments for the taxes. That eases the big hit in April.

IMS company cars. A couple of legacy spec B's?? STI's?? >

 

[4WRXter]

Honestly, Ecks, you might consider a vehicle. It's something that is deductible, and useful personally. Even my wife, who is ultra-conservative financially, suggested that we buy a "work vehicle" for a deduction and it's something that will benefit us.

Or put an addition on the shop with more machines.

Or put in that septic system and a bathroom.

I'm sure your accountant is advising you along these lines. Just trying to throw out some ideas. Good Luck.

 

[gearsoup]

We are considering "research equipment" aka motorcycles, atv's etc. (we both want to make custom stuff)

We are also looking for a delivery/work vehicle.

 

[gearsoup]

My accountant wanted us to hold off on quartley payment until we knew how the business was going to turn out. When we started the shop last December, we had ZERO $$$. Now, well let's just say we could walk away from it all with everything more or less paid for...

 

[4WRXter]

My accountant wanted us to hold off on quartley payment until we knew how the business was going to turn out. When we started the shop last December, we had ZERO $$$. Now, well let's just say we could walk away from it all with everything more or less paid for...

That is an awesome accomplishment!!!!!!!!!!!!!!!!!!!!!!!!

 

[Trauma11]

sell your personal vehicles to your company

 

[RallyGuy24]

Buying a company vehicle is a good idea. Always expenses there to keep the deductions. You will want to keep a personal vehicle though. The IRS will come and audit if they only see a business vehicle for you, and not a personal vehicle to get groceries with and whatnot.

 

[InSaNeBoY]

buy my Element... that'd be a good delivery/work vehicle. ;D