You may be able to write this purchase off as a Business expense in the year of purchase. TurboTax will let you know if you cannot claim the item as a business expense in the current year, and should instead depreciate the asset over its remaining useful life.
1. To report this item as a
business expense in the year of purchase, In TurboTax Home & Business,
go to:
Business<Business Income & Expenses<"I'll Choose What I work On",Business Income &Expenses< 'Start' or 'Update' across from Profit or Loss From Business . <---see screenshot 1.
2. Next ,you will arrive at the Income and Expenses summary for your business <---- see screenshot 2. From this page, you will click on "Common Business Expenses" as shown in the screenshot.
3. Now you will arrive at the Business Income & Expenses Summary page, titled, "Let's Write Off Some Business Expenses". This is the page where you will be able to navigate to the proper areas to enter ALL your business expenses. <---screenshot 3
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1. To enter this item as a Business Asset, and therefore claim depreciation on this Asset thereby expensing the item in future years, proceed to the following:
Business<Business Income & Expenses<"I'll Choose What I work On",Business Income &Expenses< 'Start' or 'Update' across from Profit or Loss From Business . <---see screenshot 1.
2. Next ,you will arrive at the Income and Expenses summary for your business <---- see screenshot 4. From this page, you will click on "Business Assets , Business Property that is Depreciated" as shown in the screenshot.
