Tax Categories for the Schedule C Form

[esavvymom]

Two years ago, my DH had gone through my P3 business expenses reports, and using the tax laws at the time, TurboTax, and the Schedule C form, he came up with this "cheat sheet" for me to help me categorize my business expenses. I prepare my reports, and then give him everything in the correct categories, so he can just plug in the numbers.Thought I'd share, for those of you who do your own taxes, or have to give your tax preparer info. You can easily put the individual expense totals under each Grouping - so they see what you included.hope it helps someone!

Advertisement: Line 8 - schedule C
- Business cards, ads, website fees
- mass marketing items, fees, etc Car/Truck Expenses: Line 9- schedule C
- Mileage
- To & From Shows, Conventions,
Business Activities Commissions/Fees: Line 10- schedule C
- Business License,
vendor fee for set up in a public place Office Expense: Line 18- schedule C
- Anything other than routine office supplies
- Toner, paper, pens, pencils, notepads
- Postage, shipping charges Supplies: Line 22- schedule C
- Supplies related to producing a product/service
offering
- purchases that are not office expenses but
are required to continue your business efforts
- does not include resellable inventory Travel: Line 24- schedule C
- Hotel (100% deductible) Meals: part of line 24- schedule C
- Cost of business meals
- subject to 50% limit rules Other/Misc Expenses: Line 26- schedule C
- dues, subscriptions
- business telephone
- training and training materials (CD/DVD/Online)Gifts: Line 27
- These would be "Consultant Gifts", such as special promotions you may offer. Limit of $25 per person/customer per year.
(IRS Pub 463, ch 6, pg 28)

 

[chellb1234]

This is Awesome Thank you!

 

[esavvymom]

I added "Gifts"...forgot that the first time.

 

[Karen]

Bumping...

 

[AnaCash]

Hello there! Thank you for sharing this helpful "cheat sheet" for organizing business expenses. It's always great to have a system in place to make tax time easier. I appreciate you taking the time to put this together and offering it to others. As a Pampered Chef consultant, I know how important it is to keep track of expenses and make sure they are properly categorized for tax purposes. I will definitely be using this as a guide for my own tax preparations. Thanks again for sharing!