Grocery Deductions for Pampered Chef Consultants | Record Keeping & Tax Tips

[floccies]

I've seen a couple of threads saying that the food for practice recipes are tax deductible. How do you keep the records? Is this really true? Have those of you using accountants had them OK this as a deduction? What line does it go under? Is food a 100% deduction for Pampered Chef or a 50% deduction?

I'm a new consultant. January is my SS#1 month. I've been practicing recipes (not talking out loud, just tasting and trying out the tools).

 

[tlennhoff]

You need to keep your reciepts for pampered chef food seperate and preferably label the receipt with what it was for (show on x date, practicing recipe x). Keep the receipts in an envelope so its easy to do the deductions at tax time. I'm not sure what line item this goes in as I'm new and have not done business tax returns before.

 

[chefann]

You can set up a category in the expenses area of Pampered Partner and track them there (that way you don't have a huge stack to enter at the end of the year - but keep the actual receipts in an envelope!). Then when you fill out your Schedule C, you'll have things already added together to enter.

 

[BethCooks4U]

You can try a recipe twice and deduct the total cost of it. If you buy the ingredients for a show that is totally deductable as well - it is a cost of holding the show just like the receipts or catalogs.

 

[AnaCash]

Hi there! Yes, it is true that the food used for practice recipes can be tax deductible. To keep records, I recommend keeping a log of the ingredients used and the corresponding receipts. This will serve as proof for your tax deductions. As for the percentage of deduction, it is best to consult with your accountant to determine the exact amount. The deduction would most likely fall under business expenses. As a Pampered Chef consultant, you are eligible for tax deductions for your business expenses. Congratulations on starting your journey as a consultant! Best of luck to you.