Anyone have Luck growing Paw Paw

[ninnymary]

bobm, I don't think Nyboy is talking about giving shampoo as gift to a customer. I think he means making it and using it himself to bath the dogs/animals.

Mary

 

[bobm]

Mary, if NYboy ( or anyone else) was to deduct shampoo or any other product that they make themseives and then he uses it in his business on his tax return as cost of doing business, he would still have to document the cost ( just as if he purchased it ) of making his product and is allowed to do so. If he does't claim the product as a deduction on the tax return , no harm or foul. However, if he or anyone else was to make a gift of any shampoo or any other product to a customer, the product would have to be limited and documented as to cost to $25 limit on his tax return. There is no limit as to the value that the tax payer can give, but he / they are limited to $25 as value that can be deducted on a tax return. Clear as mud ?

 

[Nyboy]

Way to go, Nyboy! That means your purchase can be tax deductable -- you're using the produce in your business.

BOB says bad idea,

 

[Smart Red]

Don't tell Bob, he has a thing about tax deductions. Speaking of Taxs sales are due

I was totally serious -- bobm and his excellent tax advice not withstanding -- that the purchase, if paw paws are intended to be used for lice removal, would be tax deductable. I am presuming your dog grooming business does make a profit every few years, yes?

It may be more work than is worth the product, but real business expenses are deductable. What bobm is saying is that you can't produce your PAW'S paw paw shampoo for sale at $50 a bottle, gift the bottles to customers, and deduct the $50 (suggest retail) price. Good customer relations only go so far with Uncle Sam.

 

[thistlebloom]

If I was NYboy I would never give my customers dog shampoo no matter who made it. He doesn't want them all going DIY on him!

 

[Smart Red]

His customers wouldn't want the mess! No DYI for them even with free shampoo. Chances are the chauffeur drives the pet for its grooming.

 

[Nyboy]

Thistle I once had a client tell me they bathed their dog at home " half hour to bathe dog 3 hours to clean bathroom after" NEVER again

 

[baymule]

 

[ninnymary]

bobm, I guess we are not talking about the same thing. I am not talking about giving gifts. As a self employed person with a business and having worked for IRS for 11 years, I know a lot about deductions. But of course, not as much as you.

Mary

 

[Nyboy]

@ninnymary thanks for silla got it today