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Updated almost 8 years ago, 01/08/2017
What can I claim as business expenses?
I'm not sure if there's another place I should be asking the specifics on this question due to the fact that all states are different, but I couldn't find much with my research.
I'm in the process of starting an LLC, but I'm unsure of what I can claim as business expenses. I work a full-time job and would be doing my own deals on the side through my LLC.
I'm confused as to what I can claim as business expenses. My plan was to set up an LLC, create a business checking account, and then only use that account for business related expenses. Then at the end of the year, submit all those business expenses when filing taxes.
I was under the impression almost anything towards the LLC could be claimed as a business expense.
Examples of things I would have claimed:
- LLC startup costs
- Costs of creating a logo
- Electronics used for the sole purpose of the business (Laptop, business cell phone, camera)
- Gas (Having a separate card used for gas purchases, keeping all receipts)
- Rehabbing (Sheetrock, tile, cleaning materials, etc. I would possibly use some sort of rewards credit card from Home Depot or Lowe's, but keep up with the spending electronically so I have all receipts at the end of the year to claim)
- Fix-up costs (Plumber's bill, electrician coming out to fix faulty wiring, termite control, etc. I would keep all bills from them to claim as operating expenses)
Am I going about this the right way, or am I totally off? I'd like to open a business checking account so it's easy to keep up with my expenses. But I don't want it to look like I'm committing any sort of fraud by claiming a laptop or something. I would be buying things with the SOLE purpose of my business.
Any help would be appreciated.