Originally posted by Getback
His wife is right. However, it may be common practice to write off small tools. On the safe side, categorize them and follow the IRS Depreciation methods.
what I do is I have a sheet with the total tallys of all my regualr tools
then several other itemised sheets listing each item, when it was bought and how much I paid for it and the totals for each listing
Example
Date Qnty Brushes
1/2/08 1 3" Nylon/polyester $16
1/7/08 2 4"China Bristle $32TOTAL 3 $48
And do the same thing with rollers, roller cages.. Anythign I tend to buy alot of the same type thing.
Anything else I have yet another sheet labled "
and equipment"
And list each of them the same way with the total on the bottom as well
Another sheet on Rental equipment
And yet another on vehicle expences, and so on and so forth
The main sheet has all the tallys
Looks something like this (example numbers only)
Item totals for year 2008
Standard tools
Brushes Rollers etc $1,000
Miscellaneous Tools
and equipment $700
Rentals $500
Vehicle Expences $2000 Total $4,200
tis way he can go over what I listed to make sure Im not claiming anything I cant list
If everything is kosher. He already has the totals right there.
If not he can just subtract the prices of whatever items from the totals
He tells me he loves the way I present everythig to him.
typically what most buisinesses and contractors in particular do to him is just hand him a box full of receipts and say "here ya go"
Youch LOL