"Buerste" wrote:


"Ed Huntress" wrote in message
...
You don't have your shop-made equipment on your books?? How do you report
your assets when you go for a loan? Don't you have business property taxes
in Ohio? Tom, Tom...have you undervalued your assets? g


My accountant states that I can't take $2k in steel and $2k in parts and $5k
in labor and capitalize it as a $50k machine...which is what it would cost
to buy it or have it built. We write it off as shop expense, perfectly
legal. As far as assets for loans, the building and property, paid for,
more than cover any loans we would want.


The accountant where I used to work had the same thoughts on what the machines I made were
worth on the books.

To call it a 50K machine, you would have to set up another business unit, claim the
difference is profit less expenses and all that sort of thing getting you nowhere other
than putting a higher asset value on your machine and paying taxes on 'imaginary' income.

I have a feeling you have better things to do.

Wes
--
"Additionally as a security officer, I carry a gun to protect
government officials but my life isn't worth protecting at home
in their eyes." Dick Anthony Heller