Posted: 12/20/2010 3:24:46 PM EDT
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My accountant's on vacation; maybe someone here knows the answer to this.
I want to buy some computer equipment for my business by the end of the year. It doesn't look like it'll ship until after new years; they charge my credit card when the stuff ships. Can I apply it to my 2010 deductions? |
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Had a similar issue when I worked Supply for my last unit. Called the company I was placing the order from, explained the situation, they made an exception to policy and charged my card when I placed the order. ETA: Obviously not similar enough. BTW, this wasn't for tax purposes, the money just had to be spent by a certain time or we lost it. |
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depends on if you are a cash business or an accrual business.
most little guys (like me) are cash. although the more I think about it, the more I don't know is it when you are charged on the card (if you are a cash based) or when you pay teh card off? i dunno stay at a holiday inn express tonight. buy the damn thing at staples/office max/office depot/best buy and then it will charge and come home with you the same day, so it will certainly make this year. |
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It should be included on next years return. You don't take legal possession of the goods until they ship, assuming your card is billed at shipment. Do u mean the ship out day will be before the new year and you will receive the equipment after the end of the year, or the whole transaction (card processing, and shipment) will take place next year? If you can provided an invoice that shows a 2010 date, and that you are responsible for paying the shipping you may be good to go for this year.
*NOT an accountant, just a SR accounting major |