Start Up Write Off

#1 09-29-2011, 02:46 PM

I read in the tax code somewhere that the first year you start a daycare you can write off up to $5000 in costs. Is this correct, and is it a 12 month year or just with in the year you started your business?

Example: I started in June 2011, can I still claim new flooring for the daycare room in Feb 2012?

TomCopeland · #2 09-30-2011, 02:03 PM

There is an IRS rule about start up costs. It says that items you buy before you go into business may be deducted when you business begins. Items you buy after your business begins can always be deducted (if they are used in your business). So you can deduct your 2012 flooring on your 2012 tax return.

#3 10-01-2011, 08:19 AM

Thanks Tom! I was confused by the wording I guess.

Looking forward to using your 2011 tax book.

Thread Tools
Show Printable Version Email this Page
Display Modes
Linear Mode Switch to Hybrid Mode Switch to Threaded Mode

Similar Threads
Thread	Thread Starter	Forum	Replies	Last Post
Daycare In An Apartment?? And What Is The Start Up Cost Looking Like For Me?	Gloria16	Daycare Center and Family Home Forum	17	02-06-2018 09:51 AM
When To Start Advertising For Fall	WImom	Daycare Center and Family Home Forum	7	06-05-2012 09:23 AM
When to Start??	MrsMacklin	New Members - Welcome to the Daycare.com Forum!	12	01-19-2011 05:47 PM
T/S% Unemployment & Late In The Year Start Date	Unregistered	Daycare and Taxes	0	01-05-2011 07:09 AM
Start Up Daycare Before or After I Have a Baby??	teacher28	Daycare Center and Family Home Forum	17	08-04-2010 05:45 AM