Amortization Or Write Off Of Supplies

Business By auntmamie Updated 24 Jul 2009 , 1:57am by CakeForte

auntmamie Posted 23 Jul 2009 , 10:21pm
post #1 of 6

Just wondering, for those of you who do your own books/tax returns - do you amortize or write off your supplies, or do you have a threshold for this decision? I am filing schedule C for the first time this year, and am trying to figure out what way is best.

BTW - by supplies, I am talking about small value, reusable supplies such as tips, my new turntable ($35), pans, etc. They almost seem too small in value to amortize.


5 replies
cakewalkky Posted 24 Jul 2009 , 12:29am
post #2 of 6

Free advice here from a CPA - write it off as an expense on your schedule C. Depreciation is usually for items that you will use over time and will last - 3 to 5 years and are usually big ticket items. If you are talking about $35, its an expense.

CakeForte Posted 24 Jul 2009 , 12:58am
post #3 of 6

good question! I have wondered that myself.

CakeForte Posted 24 Jul 2009 , 1:16am
post #4 of 6

Also look up waste water requirements to see if you need a particular kind of grease trap. I have to get one that is in the ground...not too happy about the expense of it....but it's necessary.

indydebi Posted 24 Jul 2009 , 1:23am
post #5 of 6

One that goes in the ground, are you kidding? Do you do more than cakes or are your state laws just that stringent?

I'm a caterer and I was only required to have a small box one under my sink.

CakeForte Posted 24 Jul 2009 , 1:57am
post #6 of 6

That's Texas for you. I don't do that many cake...and even at max operations....I won't be using that much oil to where the grease trap will need the frequent cleanings that are required. I don't use shortening recipes at all. The county only requires it under the sink.
I'm debating on whether or not I should move my location. If I win the contest (see my siggy)....I'll stay and put the funds towards that.
I'm in a location where I know I'll be pretty's just this start up phase that is a struggle.

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