I Need To Claim More

[lovemykidstoo]

I am clearly not claiming enough expenses and now we owe $9000. So I have homework to do. I'm claiming gifts, daycare insurance, homeowners insurance, taxes, mileage, supplies, cable/phone, water, electric/gas.

I found out I can claim cleaning and paper product on a t/s%. So I need to do that. How much does everyone on average claim for that for the year?

What am I missing. My tax person said "go look".

[Country Kids]

We have owed the past two years and I claim everything under the sun

My tax person actually said don't run out and buy a ton because it really doesn't help in deductions.

We are losing our own kiddo's so I think that has something to do with it-we don't get all those credits.

[daycarediva]

I claimed four kids, and two extra kids this year AND I almost owed in. We are getting a $130 combined fed/state return. My accountant is happy with that- as we estimated and paid our quarterlies correctly.

repairs.

mileage.

activity expenses.

meals.

supplies.

I literally save EVERY receipt. I scan them, and make a photocopy. I highlight each thing that was used for dc use.

My dh and I are both self employed, so it's years and years of practice to NOT owing that HUGE amount at the end of the year.

[LittleExplorers]

$9,000 may be a lot but that depends on your income. If you had to pay in very little or not at all, you would not be operating on much of a profit. That doesn't help with your current bill, but I guess I look at it as I want to make money. Also, there is so much more to taxes that just your daycare business.

Tom Copeland has list of all the things you can can claim, but as someone else above stated, spending money to reduce taxes does not make sense unless you actually need the stuff you are buying.

Good luck!

[MyAngels]

You should pick up a copy of Tom Copeland's book, it gives a lot of information about what you can claim, a lot of stuff you might not think of.

I also save every receipt for absolutely everything I buy through the year and scan them so that I have a copy that won't deteriorate as easily over time.

Tom's book also talks about how to document purchases if you don't have or didn't get a receipt.

[lovemykidstoo]

$9,000 may be a lot but that depends on your income. If you had to pay in very little or not at all, you would not be operating on much of a profit. That doesn't help with your current bill, but I guess I look at it as I want to make money. Also, there is so much more to taxes that just your daycare business.

Tom Copeland has list of all the things you can can claim, but as someone else above stated, spending money to reduce taxes does not make sense unless you actually need the stuff you are buying.

Good luck!

I get all of that, I'm just thinking if there is something that I'm missing that I already spend money on. I just looked back at other taxes I had done by another person and with the food program, I can claim monthly 2 meals and a snack, so the statement I get at the end of the year says there are "unreimbursed meals like 2,200 of them" For that 3rd snack. My last tax person did something with that on my taxes to get more money back. This lady didn't do that. Does anyone know about that?

[lovemykidstoo]

I claimed four kids, and two extra kids this year AND I almost owed in. We are getting a $130 combined fed/state return. My accountant is happy with that- as we estimated and paid our quarterlies correctly.

repairs.

mileage.

activity expenses.

meals.

supplies.

I literally save EVERY receipt. I scan them, and make a photocopy. I highlight each thing that was used for dc use.

My dh and I are both self employed, so it's years and years of practice to NOT owing that HUGE amount at the end of the year.

Are you part of the food program? How do you claim meals? My last tax person gave me something on the "unreimbursed" meals. Meaning I can get money from teh state for 2 meals and a snack, but not the 2nd snack, so he would do something with that, but I'm not sure how he did that.

[Blackcat31]

My DH and I are both self-employed as well and my T/S is always 100% so I literally claim everything relating to daycare and we still pay in between $2500-3500 every single year.

....and my kids are too old for me to claim as dependents anymore.

[Cat Herder]

My DH and I are both self-employed as well and my T/S is always 100% so I literally claim everything relating to daycare and we still pay in between $2500-3500 every single year.

....and my kids are too old for me to claim as dependents anymore.

We broke even-ish this year without dependants (owed $80ish State). I guess that is the goal, but it felt anticlimactic.

Other time spent used to be something I often forgot to add in.

[lovemykidstoo]

My DH and I are both self-employed as well and my T/S is always 100% so I literally claim everything relating to daycare and we still pay in between $2500-3500 every single year.

....and my kids are too old for me to claim as dependents anymore.

How is t/s figured

[Cat Herder]

http://www.uft.org/files/attachments/provider-tax-guide-english.pdf

This is a good resource, obviously don't follow the meal rates because they change yearly. Pg 25-42

[Blackcat31]

How is t/s figured

http://tomcopelandblog.com/how-to-calculate-your-time-space-percentage-before-the-year-is-over

I don't calculate anything as my daycare is 100% separate from my home. Like 7 miles down the road separate.

[Blackcat31]

We broke even-ish this year without dependants (owed $80ish State). I guess that is the goal, but it felt anticlimactic.

Other time spent used to be something I often forgot to add in.

Yes, that is what we've been told too.
Breaking even is the goal...

There have been years (when the kids were still at home) that we got just enough back from state to pay federal or vs.

Gah...taxes ****. period.

[Cat Herder]

Yes, that is what we've been told too.
Breaking even is the goal...

There have been years (when the kids were still at home) that we got just enough back from state to pay federal or vs.

Gah...taxes ****. period.

Right? :confused: I am also still nervous about how it will go next year. I am not buying any new equipment or supplies this year. I plan to float along with what I have already collected.

[TomCopeland]

meals/snacks

I get all of that, I'm just thinking if there is something that I'm missing that I already spend money on. I just looked back at other taxes I had done by another person and with the food program, I can claim monthly 2 meals and a snack, so the statement I get at the end of the year says there are "unreimbursed meals like 2,200 of them" For that 3rd snack. My last tax person did something with that on my taxes to get more money back. This lady didn't do that. Does anyone know about that?

You can deduct up to one breakfast, one lunch, one supper and three snacks per day per child, if you serve that many. One snack for one child each day is worth a $189 deduction per year. Be sure to claim all of the snacks you serve.