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horsechick48
Returning Member

Equine business

I have an equine related business and I have horses at home. 

If I take photos of the horses and use them on the website, use them on my Facebook page, use videos of them for marketing put promotional gear on them while competing, or use them for demos can I write off their everyday expenses and shows that I enter in as long as they are wearing promotional gear? 
Would it be categorized as equine upkeep or equine promotional expenses? 

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2 Replies

Equine business

It’s not clear whether you have a profit motive business or a hobby. Can you clarify?

Equine business

To be deductible, business expenses must be ordinary and necessary.  "An ordinary expense is one that is common and accepted in your field of business. A necessary expense is one that is helpful and appropriate for your business. An expense does not have to be indispensable to be considered necessary."

 

What is the business reason for these expenses?  If you are advertising for new clients, then it would be advertising.  If you are providing ordinary care for your horses, then the gear they wear is probably just a regular upkeep expense, and the advertising expense would be anything you paid for a professional photographer, or to boost the post on social medial.  (If you are just showing off on social media and have no real business purpose, then maybe it's not even a deductible business expense.)

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