How do you write your hobby off to your business?
03-18-2013, 07:32 PM
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How do you write your hobby off to your business?
Ok, guys... I have several successful businesses and have purchased a new boat. I have been paying more and more taxes and truly getting sick of it. The bleeding never stops and it's only getting worse. I noticed a lot of people doing sponsors and lots of racing. But, is this really just a front for your hobby? I'm not really into racing. Don't make that kind of money to waste! Lol...you guys are in a different league than me.
I am interested in how some of you write off some or most of your boating expenses. Outside of some gas and a few small things I have never really wrote anything else off. I am curious what some of you do to push the envelope. My accountant seems to never have many options for things like this. I am considering registering the boat in Delaware for the purpose of sales tax. But, is this just a matter of time before ohio ask for this as well?
Interested in ways to help write off some expense that will not be truly illegal! Lol... Outside of some vinyl wraps for advertising our something.
Looking for suggestions or things you might do. If, you don't feel comfortable sharing on forum please email me direct. Thanks for your help.
I am interested in how some of you write off some or most of your boating expenses. Outside of some gas and a few small things I have never really wrote anything else off. I am curious what some of you do to push the envelope. My accountant seems to never have many options for things like this. I am considering registering the boat in Delaware for the purpose of sales tax. But, is this just a matter of time before ohio ask for this as well?
Interested in ways to help write off some expense that will not be truly illegal! Lol... Outside of some vinyl wraps for advertising our something.
Looking for suggestions or things you might do. If, you don't feel comfortable sharing on forum please email me direct. Thanks for your help.
03-18-2013, 07:43 PM
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Ok, guys... I have several successful businesses and have purchased a new boat. I have been paying more and more taxes and truly getting sick of it. The bleeding never stops and it's only getting worse. I noticed a lot of people doing sponsors and lots of racing. But, is this really just a front for your hobby? I'm not really into racing. Don't make that kind of money to waste! Lol...you guys are in a different league than me.
I am interested in how some of you write off some or most of your boating expenses. Outside of some gas and a few small things I have never really wrote anything else off. I am curious what some of you do to push the envelope. My accountant seems to never have many options for things like this. I am considering registering the boat in Delaware for the purpose of sales tax. But, is this just a matter of time before ohio ask for this as well?
Interested in ways to help write off some expense that will not be truly illegal! Lol... Outside of some vinyl wraps for advertising our something.
Looking for suggestions or things you might do. If, you don't feel comfortable sharing on forum please email me direct. Thanks for your help.
I am interested in how some of you write off some or most of your boating expenses. Outside of some gas and a few small things I have never really wrote anything else off. I am curious what some of you do to push the envelope. My accountant seems to never have many options for things like this. I am considering registering the boat in Delaware for the purpose of sales tax. But, is this just a matter of time before ohio ask for this as well?
Interested in ways to help write off some expense that will not be truly illegal! Lol... Outside of some vinyl wraps for advertising our something.
Looking for suggestions or things you might do. If, you don't feel comfortable sharing on forum please email me direct. Thanks for your help.
Looking for new business opportunities, put advertising on boat (!), etc
03-18-2013, 08:03 PM
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In ohio you pay tax on boat purchase when you register the boat in ohio. If, you never register the boat in ohio then you don't pay taxes. I just registered one last year in Delaware and I had no issues. In fact, it help me sell the boat because the buyer ended up registering it there as well which saved him around 7k in taxes as well.
As long as you use your boat in Delaware 60 days a year you are able to register it in the state of Delaware. And of course i use my boat there 60 days a year! lol...This means you send them the title and they send you back the registration and a little card in place of title for ownership. You don't have to have a Delaware address it cost me like $90.00 for 2 years I think to register the boat.
Once you sell the boat you just give the card to new owner and they can transfer the numbers or ask for title back. It worked out great. Delaware does not collect any kind of sales tax on the boat. I know it sounds to good to be true!
I was skeptical as well but had no issues.
As long as you use your boat in Delaware 60 days a year you are able to register it in the state of Delaware. And of course i use my boat there 60 days a year! lol...This means you send them the title and they send you back the registration and a little card in place of title for ownership. You don't have to have a Delaware address it cost me like $90.00 for 2 years I think to register the boat.
Once you sell the boat you just give the card to new owner and they can transfer the numbers or ask for title back. It worked out great. Delaware does not collect any kind of sales tax on the boat. I know it sounds to good to be true!
I was skeptical as well but had no issues.
Last edited by NORTECH-ANGLER; 03-18-2013 at 08:05 PM.
03-18-2013, 08:19 PM
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If you choose to sell a boat related product via a simple business or website. You would need a boat, insurance, dockage and fuel to provide demo's, instruction and/or gain access to buyers.
Good Luck.
Good Luck.
03-18-2013, 08:28 PM
#6
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I usually have the company pay for the fuel, insurance, and storage of the boat. That adds up to me.
The boat itself is a personal expense. However, I did write off the interest from my last boat on my personal taxes as a second mortgage due to the overnight amenities it had.
Buck
The boat itself is a personal expense. However, I did write off the interest from my last boat on my personal taxes as a second mortgage due to the overnight amenities it had.
Buck
03-18-2013, 08:35 PM
#7
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Look at the scenarios that fit your lifestyle best.
-Delaware/out of state wont work around here. They see you 3-4 times and its over. They will make your life difficult till it has Florida registration.
-Overnight amenities is a good one but we got more deductions as entertainment expenses. Depending on who is with you when you boat it is entertainment. So, the fuel, payments/interest and food are deductible.
All depends on "your" story and what you do with it.
-Delaware/out of state wont work around here. They see you 3-4 times and its over. They will make your life difficult till it has Florida registration.
-Overnight amenities is a good one but we got more deductions as entertainment expenses. Depending on who is with you when you boat it is entertainment. So, the fuel, payments/interest and food are deductible.
All depends on "your" story and what you do with it.
03-18-2013, 09:38 PM
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03-18-2013, 09:43 PM
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Would think just like guys write off planes to the company, and their wifes car, and the home office. You know that higher taxes on the wealthy is what will bring this country out of its funk, right? You got to pay your fair share.
And you don't get a say in whats fair.
And you don't get a say in whats fair.
03-18-2013, 10:52 PM
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Not sure how much people are going to be willing to talk since I'm sure it goes into a "gray area" tax-wise but I have noticed a LOT of the heavy hitters with big $$$ boats put their boats in their business's name or they create a small LLC business just to put their toys in its name so they can write them off and not be personally held responsible for them should the bottom fall out.
