Write offs as Hunting Guide

[alecvg]

I guide part time in the fall, did it full time for years, but with a young kid at home, and making more time to hunt for myself, it’s only part time anymore.

I am not very knowledgeable in regards to taxes and finances. I always file my taxes myself, let be well within my means, and put plenty into savings and such. Don’t think I am careless, just not very well versed.

Question is, should I be writing off gear expenses as a guide? Would it be worth the hassle of doing so?

Any advice would be appreciated!

 

[howl]

It takes lots of writing off to beat the standard deduction.

 

[Forkyfinder]

I guide part time in the fall, did it full time for years, but with a young kid at home, and making more time to hunt for myself, it’s only part time anymore.

I am not very knowledgeable in regards to taxes and finances. I always file my taxes myself, let be well within my means, and put plenty into savings and such. Don’t think I am careless, just not very well versed.

Question is, should I be writing off gear expenses as a guide? Would it be worth the hassle of doing so?

Any advice would be appreciated!

Probably not. Can you find more than 12,000 or so dollars of expenses?

 

[AvidIndoorsman]

I guide part time in the fall, did it full time for years, but with a young kid at home, and making more time to hunt for myself, it’s only part time anymore.

I am not very knowledgeable in regards to taxes and finances. I always file my taxes myself, let be well within my means, and put plenty into savings and such. Don’t think I am careless, just not very well versed.

Question is, should I be writing off gear expenses as a guide? Would it be worth the hassle of doing so?

Any advice would be appreciated!

Are you a 1099 or W-2?

If a 1099 and you are filing a schedule C then you can include any equipment that is ordinary for your profession and purchased in that tax year. So if you bought optics, boots, rifle, etc that would all qualify.

 

[millerkiller77]

I guide part time in the fall, did it full time for years, but with a young kid at home, and making more time to hunt for myself, it’s only part time anymore.

I am not very knowledgeable in regards to taxes and finances. I always file my taxes myself, let be well within my means, and put plenty into savings and such. Don’t think I am careless, just not very well versed.

Question is, should I be writing off gear expenses as a guide? Would it be worth the hassle of doing so?

Any advice would be appreciated!

The time you spent creating an account and then posting here is a write off. So is the electronic device you used to post/research. Did ya post from home? Yup, home office deduction including a percentage of your utilities.
If you can't beat em, join em, A knowledgeable CPA is your best friend.
If you identify as an illegal alien, it's all tax deductible and you're going to get a refund without paying a penny into the system.

 

[MTGomer]

Are you a 1099 or W-2?

If a 1099 and you are filing a schedule C then you can include any equipment that is ordinary for your profession and purchased in that tax year. So if you bought optics, boots, rifle, etc that would all qualify.

This is what I do (1099).
Put as many expenses as you can. Gear
mileage/gas, optics, etc.

 

[mxracer317]

If doing the aforementioned, while trying to take a hobby and play it off as a legitimate business…

Wishing any that do the best of luck justifying to the IRS those things as a “real” and “necessary” business expenses.

The IRS doesn’t play games. My best friend is a certified fraud examiner for the IRS. Believe me, i’ve tried justifying too.

 

[LuketheDog]

I guide part time in the fall, did it full time for years, but with a young kid at home, and making more time to hunt for myself, it’s only part time anymore.

I am not very knowledgeable in regards to taxes and finances. I always file my taxes myself, let be well within my means, and put plenty into savings and such. Don’t think I am careless, just not very well versed.

Question is, should I be writing off gear expenses as a guide? Would it be worth the hassle of doing so?

Any advice would be appreciated!

I've done the same, haven't hit the standard deduction though.

 

[rjthehunter]

Wait until those that do the aforementioned, while trying to take a hobby and play it off as a legitimate business get audited.

Wishing any that do the best of luck justifying to the IRS those things as a “real” and “necessary” business expenses.

The IRS doesn’t play games.

True, irs doesnt mess around.

It's our hard earned money, and the government wants it NOW!

 

[MTGomer]

If doing the aforementioned, while trying to take a hobby and play it off as a legitimate business…

it’s a service being provided in exchange for compensation. One that requires licenses, permits and insurance. Theres nothing illegitimate about it.
Hard to get to the hunting locations without putting on miles on a vehicle, or seeing sheep without optics.

I think it would be hard to justify a new RV or sxs every other year but boots, binos and miles are probably written off by about everyone that guides much.

 

[mxracer317]

it’s a service being provided in exchange for compensation. One that requires licenses, permits and insurance. Theres nothing illegitimate about it.
Hard to get to the hunting locations without putting on miles on a vehicle, or seeing sheep without optics.

I think it would be hard to justify a new RV or sxs every other year but boots, binos and miles are probably written off by about everyone that guides much.

Totally agree. If it’s a legit business, 100%, no worries. Just saying the IRS won’t take kindly to stretching things that are not justified.

My dream job is a guide. Gotta figure out how how to convince the wifey to let me break away from the desk jockey gig. Ha

 

[Moserkr]

Find a (good) CPA that will do your taxes. Ours cost $350 for the year, and that is deductible next year. You should be writing off a lot more than just gear. Vehicle, gas, hunting gear, portion of house as office, phone and its bill, portion of utilities, etc. If it remotely had anything to do with hunting, write off. Because every personal hunt is scouting for guiding... Also remember the key word "marketing", and apply it to anything you can for a write off. A board meeting (hunting trip) can be written off if you are a c-corp.

We have a client who was the lead international tax attorney for the 3rd largest law firm in the world. His words about American tax law: Its all a negotiation.

 

[TN2shot07]

We have a client who was the lead international tax attorney for the 3rd largest law firm in the world. His words about American tax law: Its all a negotiation.

Just saying - In my experience that’s pretty much the lawyer rule about every thing. It’s part of what makes a good lawyer worth what they charge

 

[Brad W]

Best thing I ever did for my business was stop doing my own taxes and hire a good CPA. It costs me $500 a year and is worth every penny. You don’t know what you don’t know but I can almost guarantee that you are leaving a lot of money on the table.

 

[Salmonchaser]

Keep a journal, i used a little pocket note book. set up a good accounting program on your pc. Spend a few minutes every day logging your expenses/income in an appropriate category, You can group items or keep them separate, depends on how big you get. Everything from fly reels to do dog collars and dog food and vet bills Has a category, including tips. Believe me an auditor will be looking for tips under this business heading.
Boats, vehicles airplanes and even bird dogs have a depreciation schedule.
You keep a journal, transfer the information to your pc at the end of the day, use an accounting program your cpa likes every body ends up happy when you get audited. In 20 years of guiding I was audited twice, it does come down to negotiation. It cost me a few bucks with no penalties or interest the first time. Second time they found everything was in order.
The most important thing to remember; Free legal and tax law advice is worth exactly what you pay for it. Even here!
Good luck, have fun but first of all invest a little money and get some tax law advice from a pro before you start out.

 

[longbow51]

Lots of good advice. To sum it up, CPA, CPA, CPA. They are your best friend. Depreciation schedules are different for different items, e.g. boots vs boats. No place for amateurs.

 

[westbranch]

The standard deduction has nothing to do with business expenses.

 

[Jamen]

I started a small LLC a few years back. I will echo a few others and suggest finding a good CPA. The amount they charge IMO is well worth it. If i get an audit they, do it for me. I make it easy for my CPA i have a spread sheet with my expenses all broken down in categories. I hand him that along with scans of receipts and he calls me a few weeks or a month later to sign papers.

 

[alecvg]

Thanks for all the inputs guys!

I don't have that many directly associated expenses at this point that I feel would be real justifiable. Some big optics purchases coming down the pipeline got me thinking about it.

I am looking into getting an actual outfitters license and running my own hunts, but again, am not looking for it to be my full-time gig. I would imagine their would be many more justifiable costs at that point in time.

Looks like the first step regardless would be to speak with a CPA.

Thanks again!

 

[BigHornRam]

The standard deduction has nothing to do with business expenses.

Easy to see why so many people get in trouble with their taxes!