Tweet
Ok this may be a odd question, but how is the correct way for taxes to document something when I don't have a receipt? I purchase things used at garage sales and off of Facebook and such. Today I purchased a canopy because ours was broken and I had to have it for my booth at family fun night. I am sure I will also use it for other daycare functions as well. It is practically new, used only twice still in box for half price, I can't turn that down! But being purchased from a Facebook yard sale site I didn't get a receipt. Can I just document it? If it was $5 I wouldn't fuss with it, but for $50 I would like the deduction.
-
-
Take a snapshot of the Facebook Ad with your phone or print out the ad and file it. That should be enough of a receipt to please the IRS. Then just file it in your taxes at the end of the year as normal (business expense if you only use it for daycare or time/space % if you share it with daycare and personal use).
I sometimes take a receipt book that you can get from Office Depot/Max and take it with me when I go yard sale shopping. I explain that I'm buying items for my daycare and I'll fill a receipt out and people are pretty easy-going to just sign it for me. -
Tom Copeland addresses the issue of no receipt on his site:
"Individual items - What if you have no records at all for individual items you purchased for your business? Take a picture of each item and write down what you can remember about where you bought it, when you bought it, and how much it cost (estimate it). If it was purchased new and you know the name of the store, look up the item in the store's online catalog and copy the catalog page.
If you purchased used toys from another child care provider, look up similar items on Craigslist or Ebay and copy the page with the advertisement on it. If you paid by check, save the check. Write the notation "toys" on the memo line of the check."
Comment
Comment