Default Style Register
Daycare.com Forum
Daycare and Taxes>Confused with 100% Deduction
Julia2 08:42 AM 01-01-2020
Hi I will open a daycare soon, it will be a LLC , I will take care maximum 5 children, I am starting from scratch, I am working on my license now, MY BIG QUESTION IS ABOUT THE 100% DEDUCTION for daycare items, for example if I purchase a outdoor play set for $500 just for the daycare , do I deducted the 100% in my taxes?, that means I can deduct $500 or how this work?, thank you
Reply
284878 02:39 PM 01-01-2020
Yes Tom says you can deduct the whole $500 as long as your children do not play on it after hours.
Reply
TomCopeland 09:12 AM 01-02-2020
Originally Posted by Julia2:
Hi I will open a daycare soon, it will be a LLC , I will take care maximum 5 children, I am starting from scratch, I am working on my license now, MY BIG QUESTION IS ABOUT THE 100% DEDUCTION for daycare items, for example if I purchase a outdoor play set for $500 just for the daycare , do I deducted the 100% in my taxes?, that means I can deduct $500 or how this work?, thank you
You can deduct as a 100% business items that are used 100% for your business. Make sure it's 100% business use and not 95% business use. Any expense can be deducted in one year (100% or partly business), regardless of the cost, except for a home, home improvement and home addition.
Reply
Julia2 04:01 PM 01-02-2020
Thank you for answer me, I will buy your book from amazon, is there any maximum, I read somewhere that small business can do a maximum deduction of a $5000, thank you
Reply
Julia2 06:23 AM 01-08-2020
When I should start buying my home daycare items to deduct 100%?, my license will came out in 3 weeks as far as I know, for now I am buying just used toys, thank you
Reply
TomCopeland 07:55 AM 01-08-2020
Originally Posted by Julia2:
When I should start buying my home daycare items to deduct 100%?, my license will came out in 3 weeks as far as I know, for now I am buying just used toys, thank you
Anything you buy now you will be able to deduct this year. Go ahead.
Reply
Tags:deductions
Reply Up