Attic and Inventory Keeper

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  • Sunchimes
    Daycare.com Member
    • Nov 2011
    • 1847

    Attic and Inventory Keeper

    I have an unfinished attic. About 1/2 of it is floored for storage, and among other things, I have the dc room Christmas decorations, my tax records, and toys that aren't currently in use. Should I count the attic? Should I count 1/2 since only half is used for storage? It has an outside staircase if that has any bearing on the situation.

    I know I'm over thinking this, but let me try to get my confused head straight. I'm filling out your Inventory-Keeper. Do I understand that I only list the things in a room that are used for day care? For example, in my office, I have a desk with a computer which are used regularly for dc. I have a sewing machine that I use to sew bibs and toys occasionally. I also have 4 bookcases and a file cabinet that are never used for anything related to dc. Do I put the desk, computer, and sewing machine on page 37 and the bookcases on page 56 as strictly personal? In the entry, I have 2 console tables that are never used for dc, but they are in the hallway, that is used to get to the playroom. I have a wrap-around porch, and I use one side of it to store the outside toys and for access to the play yard. Do I list the porch furniture as used for dc, since they walk past it every single day, or just list it as strictly personal? Or, our bed, although kids don't use it, I have a pnp in there for naptime. I know I'm making this harder than it should be. I'm so thankful you are willing to help.

    What about things that we didn't purchase? I have a lot of my grandmother's things, like the table in the hallway. They walk past it coming and going, but never actually "use" it. I wouldn't know how to value it, it was inherited, and they bought ca 1920. The rocking chair in the playroom is used every day, but it was also given to me when my MIL re-decorated her house.
  • TomCopeland
    Business Author/Trainer
    • Jun 2010
    • 3062

    #2
    Attic

    There is no IRS rule about how to treat attics. In general, I wouldn't count an unfinished attic as part of the square feet of the home. In your case you may want to count the half of the attic that has a floor. You could count this as regular use.

    You can depreciate household items that you use in your business. Don't count the bookcases and file cabinets since they don't contain daycare stuff. List them as personal property in the back of the Inventory Keeper. Don't count the console tables and porch furniture since children don't use it.

    You can count items that were given to you (rocker). Estimate their value at the time you first started using them in your business.

    Join me for my webinar "2011 Family Child Care Tax Update: How to Reduce Your Taxes" Thursday, February 9th at 8:30pm Eastern time. To register:http://events.r20.constantcontact.co...&llr=yatrx4cab
    http://www.tomcopelandblog.com

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