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TaxRobin
TaxRobin, Senior Advisor
Category: Finance
Satisfied Customers: 14843
Experience:  15 years of experience in financial advising with emphasis on tax issues.
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My grandson bought equipment in 2016 to run a landscaping

Customer Question

My grandson bought equipment in 2016 to run a landscaping business.. things like mowers, trimmers, edgers, etc. Can he take deduct what he paid for these on his Schedule c.
Submitted: 1 month ago.
Category: Finance
Expert:  TaxRobin replied 1 month ago.

Hello, I'm Robin. Welcome to JustAnswer. I'm reviewing your question now and typing up my reply. I'll post that in just a few moments.

Expert:  TaxRobin replied 1 month ago.

Yes, those are depreciable items. He can list them as assets and depreciate them over time or use the Sec 179 and use the total cost (up to the limit) all in the first year.

Unless he plans to buy new equipment every year I generally advise to depreciate some of the cost over the life of the asset. That way each year he can rely on an expense that will lower his Gross Income.

Please let me know if you need clarification. If you do not then a positive 5 star rating is appreciated.
A positive 5 star rating is appreciated so I get credit for the response.

Customer: replied 1 month ago.
Can he write off the full cost if he wants to?
Customer: replied 1 month ago.
can he write off the full cost if he want to?
Expert:  TaxRobin replied 1 month ago.

Yes

Expert:  TaxRobin replied 1 month ago.

He can deduct the fuel costs for the equipment and the gas for his vehicle. His vehicle is either the cost to run or the miles.

Expert:  TaxRobin replied 1 month ago.

Did you require more assistance?

Expert:  TaxRobin replied 1 month ago.

Hello?