How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site.
    Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
Ask PDtax Your Own Question
PDtax
PDtax, Certified Public Accountant (CPA)
Category: Tax
Satisfied Customers: 4192
Experience:  35 years tax experience, including four years at a Big 4 firm.
64119565
Type Your Tax Question Here...
PDtax is online now
A new question is answered every 9 seconds

My question is very specific and should be quick CPA

Customer Question

My question is very specific and should be quick for any CPA who's familiar with company taxes.
I am filing my LLC tax return of form 1065. I did a bunch of tenant improvement for a salon which including the construction contractor I hired to perform the work. I understand the cost of purchasing floors, fixtures, furniture all needing to go into Asset for depreciation.
How about the labor cost for my contractor? I issued 1099 for him. Will this be included in the Asset for depreciation for for "payment to independent contractor"? Better to be payment to contractor as I can take the deduction and business loss this year.
Submitted: 10 months ago.
Category: Tax
Expert:  PDtax replied 10 months ago.
Hi from just answer. I'mCustomer I'll assist.The labor all had to be capitalized as part of the installed cost of the assets. I know it would be better to take the deduction, but you can't.Add a portion for each item installed.Thanks for asking at just answer. Positive feedback is appreciated when you accept my response. I'mCustomer