February 07, 2007

Taxes tax me

I have a little beekeeping operation. Nothing fancy, but I want to someday make a profit. I want to claim my start-up costs on my taxes as a loss so that when the day comes that I'm in the black, I'll feel better about paying taxes on it. Not that I'm against taxes, I just think people that actually make money should pay them and the record should show that I have none. Do I need to file a Schedule C for self-employment or F for farm income. Do I need to capitalize the purchases I made this year because they are mostly equipment that will be reused from year to year or do I qualify for the exception that allows me to simply deduct them. What the heck does capitalizing my assets even mean? The small business section of irs.gov is pretty helpful, but geez, can't a girl just have little bee keeping operation without it being so complicated?

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