Taxes

[droogievesch]

I will have some animals hatching out this year and I was wondering at what point in sales do I need to claim taxes, and how important it is to file if the sales are low. I am thinking that I'll make about 500 total on all the sales, but hopefully more next year. Any imput or websites about the technicalities of owning a business would be appreciate (although I don't have many animals now I am planning on growing every year).

Jenna

[Clay Davenport]

Legally, any revenue you generate is income and has to be claimed on your taxes. What you do with that information is up to you.

Now you also have the possibility of deductions. If you treat it like any other farming enterprise you can write off feed, caging, and advertisement costs. You can even depreciate the cost of new breeders you purchase if you are so inclined.

Beyond that, you need to have a talk with an actual accountant, or at least a good tax preparer.

[TripleMoonsExotic]

Avoid HR Block and go with a trained professional. Those guys are idiots. I paid them $250 last year to take care of my taxes (due to my rental property) and they didn't check a darn receipt to make sure it was ok to right off. If all's they were going to do was punch numbers into a program, I could have done that myself!

[droogievesch]

So should I be saving receipts from reptile related purchases and keeping track of my sales, or don't bother due to the low amount of money they'll be bringing in?

[Dennis Hultman]

So should I be saving receipts from reptile related purchases and keeping track of my sales, or don't bother due to the low amount of money they'll be bringing in?

Your question was answered in the first response.

Legally, any revenue you generate is income and has to be claimed on your taxes. What you do with that information is up to you.