No, you will enter this as a other miscellaneous expense after declaring this computer expensed as a safe harbor election in the Asset category section in the return.
- Go to federal>income and expenses>Self-Employment>show more
- Self-employment income and expenses>start or revisit
- If you haven't set up a business profile, the first part of the interview will have you tell us about your business.
- You will see a screen to enter income for the business
- After entering your income information then the program will ask you about your expenses. You can select all the categories of expenses that pertain to you business.
- First select assets and go through the questions especially when you get to the question asking did you purchase any assets for $2500 or less. Answer the questions to the very end when it asks you if you wish to expense your assets costing less than $2500 as an annual election for all your future assets. This is where you make the safe harbor election.
- Now go to other miscellaneous expenses. List the computer here and expense it 30% of the cost that you paid for it.
- I apologize in my earlier answer in stating that there was a a place to enter the percentage of business use. There was if you would have claimed this as an asset and decided to depreciate it. For the expense however, you need to make that calculation just like I described above by taking 30% of the purchase price.
- When it asks for a description, enter it as Computer-subject to the de minimus safe harbor election.
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