Post a new topic
    3 Replies Latest reply on Sep 29, 2008 7:00 PM by Santa Fe CPA

    Help With Income Taxes

    ljbloom Newbie
      Hello my name is Laura Bloomfield. I'm kinda new to the business world. I sell Avon Products and have been a Rep now for 5 months. Income tax time is coming up in a few more short months and this will be my 1st time doing them for business. Do i need to do invertory for my Avon Business??? Also what items for my expenses would qualify for a Tax Write Off??? I would appreciate any answers you all would have. Thanks in advance for helping me, Laura
        • Re: Help With Income Taxes
          jesse5621 Newbie
          Hi Laura,

          Inventory it depends if you own the inventory or if it still belongs to AVON?
          Also, it depends on whether you have incorporated or not....
          business expenses are travel (miles driven), lunches with clients (don't be excessive) :) cost associated to selling your products.

          Hope this helped.
          • Re: Help With Income Taxes
            LUCKIEST Guide
            Help With Income Taxes, Welcome Laura.

            You really live at or in the Grand Canyon, Arizona How interesting and exciting.
            It is great that you are thing about income taxes before the end of the year.
            There are other considerations like being single, married, did you work for wages
            part of the year and more.
            There are many guides that can help you at book store,
            libraries and on line.

            Good luck, LUCKIEST
            • Re: Help With Income Taxes
              Santa Fe CPA Adventurer
              Hello and Good Afternoon, Laura:

              First you sould fnd yourself a good CPA to advise you. That being said, here is my take on your situation.
              First, If I am not mistaken you do not truly take posession of the Avon products, you only take orders and then deliver the item when they are shipped through you for the customer. You could have a small sample of some items in inventory. These items rotate through the inventory as you use and replace them; the first cost would be an investment adn the ongoing costs would be expenses.
              For other deductible expenses there are you vehicle expenses, either actual expense or mileage rate, however you must keep detailed records of the use of the vehicle such gas & oil, repaierd, maintenance, insurance and so forth. If you obtain a copy of Form 1040 Schedule C, you will find a fairly complete itemization of the various other expense items you may consider.
              Good Luck in your endeavor.