In my last blog, I talked about the importance of good record keeping for your horse (or other) businesses. This blog will give you some good links and a chart of records to keep to help with the process. One of my favorites and a great overall publication that is loaded with information is: FARMER’S TAX GUIDE: www.irs.gov/irs-p225pdf This is a super resource that offers information on: the Importance of record keeping, farm Income and expenses, Soil and Water Conservation expenses, depreciation, depletion, amortization and much, much more.
Two other good publications on business starting and expenses are:
STARTING A BUSINESS AND KEEPING RECORDS: https://www.irs.gov/pub/irs-pdf/p583.pdf. and TRAVEL, ENTERTAINMENT, GIFT AND CAR EXPENSES: www.irs.gov/irs-p463pdf.
The chart below provides information on all records which should be kept and the length of time they will be needed by the IRS These records are the keys to finding deductions, so keep them to allow your bookkeeper and accountant to find you savings. Hubdoc is a fantastic app. That I use that allows you to take pics of all receipts and send them directly to your bookkeeper. All items on these lists need to be kept for recordkeeping for the IRS; several are repeated, but all are essential at tax-time to receive the total deductions available.
Hopefully, these items will help you on your way to increased savings at tax-time, as well as help you avoid the dreaded “tax audit”. Please contact me if you ever need help getting your business books in order (352-229-4868, or kismetbiz.site. In the meantime, have a GREAT Thanksgiving, put profit first and trot on.
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