Going to Be Organized This Year

[lovemykidstoo]

After the fiasco of getting my paperwork organized for taxes this year, I am going to get things up to date and stay on top of it. So I have my Forms, Facts and Figures book. I already have my income all set, but am working on my first quarters expenses. Can you all tell me what categories you record things in. Examples, do you put all your electric/gas bills, water into utilities? Would cable/phone/internet go into that category too?

[TomCopeland]

expense categories

After the fiasco of getting my paperwork organized for taxes this year, I am going to get things up to date and stay on top of it. So I have my Forms, Facts and Figures book. I already have my income all set, but am working on my first quarters expenses. Can you all tell me what categories you record things in. Examples, do you put all your electric/gas bills, water into utilities? Would cable/phone/internet go into that category too?

In the end, it doesn't matter what category you put your expenses in. They all get added together on the tax forms. I'd put all of your above expenses under utilities. See my article:http://tomcopelandblog.com/go-list-expense-categories-2

[lovemykidstoo]

In the end, it doesn't matter what category you put your expenses in. They all get added together on the tax forms. I'd put all of your above expenses under utilities. See my article:http://tomcopelandblog.com/go-list-expense-categories-2

Thank you Tom. Looking through those categories, I noticed fence. We are replacing our broken down fence this summer. How would that be reflected on our taxes? Would it be under t/s % or some sort of depreciation? I'm expecting it will cost about $800. What do you think the return back to me on that would be roughly?

[TomCopeland]

fence

Thank you Tom. Looking through those categories, I noticed fence. We are replacing our broken down fence this summer. How would that be reflected on our taxes? Would it be under t/s % or some sort of depreciation? I'm expecting it will cost about $800. What do you think the return back to me on that would be roughly?

You can deduct your time-space% of the $800 in one year - no depreciation. If your time-space% was 30%, you would create a $240 tax deduction. Depending on your family's tax bracket, you would save about $70- $90 on your taxes.