I closed a store but did not close my business. I donated a lot of items like racks, display stands, etc (not capital assets.) How do I deduct them on my income tax?

caesar1 · ‎June 6, 2019

I closed a brick and mortar store and only sell online now. In the process, I donated racks, chairs, displays and office supplies that were not capital assets. How do I deduct the donations? I am an LLC

Kat · ‎June 6, 2019

If these are business assets, and you expensed them in the year that you acquired them, they cannot be deducted again as a charitable donation. The IRS considers that double-dipping.

*** I am NOT a tax expert. I am a seasoned TurboTax user, and volunteer to provide assistance to TT users. Nothing I post is to be considered TAX ADVICE; I bear no legal liability for responses.***

View solution in original post

Kat · ‎June 6, 2019

If these are business assets, and you expensed them in the year that you acquired them, they cannot be deducted again as a charitable donation. The IRS considers that double-dipping.

*** I am NOT a tax expert. I am a seasoned TurboTax user, and volunteer to provide assistance to TT users. Nothing I post is to be considered TAX ADVICE; I bear no legal liability for responses.***

Expert does your taxes

Do it yourself

Resources

Support

I closed a store but did not close my business. I donated a lot of items like racks, display stands, etc (not capital assets.) How do I deduct them on my income tax?