Photography Biz

[Boocatt]

Where on the form do I deduct cost for Camera equipment in Business expense section? 

[JulieS · Accepted solution]

It depends on the cost. If your camera equipment costs more than $2500, you enter it as an asset and you have to depreciate it or make an election to write off the full amount in the first year. 

If your camera equipment costs less than $2500, you can enter the cost as an Other expense. 

1. Select Federal on the left side menu.
2. Under  Wages & Income, find Self-employment income and expenses.
3. Select Start/Edit to the right.
4. On the screen titled, Your 2021 self-employed work summary, select Edit to the right of your self-employment entry.
5. Scroll down to Other miscellaneous expenses. 
6. If you don't see Other miscellaneous expenses, click on Add expenses for this work. 
7. Scroll down and find Other miscellaneous expenses, select Add just below.
8. Scroll down and click Continue in the lower right corner. 
9. Scroll down to Expenses. 
10. Select Edit to the right of Other miscellaneous expenses.
11. Answer the questions to add your equipment purchase. 

If you want to add it as an Asset:

1. Select Federal on the left side menu.
2. Under  Wages & Income, find Self-employment income and expenses.
3. Select Start/Edit to the right.
4. On the screen titled, Your 2021 self-employed work summary, select Edit to the right of your self-employment entry.
5. Scroll down to Expenses. 
6. Select Edit to the right of Assets
7. If you don't see Assets, click on Add expenses for this work. 
8. Scroll down and find Assets, select Add just below.
9. Scroll down and click Continue in the lower right corner. 
10. Scroll down to Expenses. 
11. Select Edit to the right of Assets.
12. Answer the questions to add your equipment purchase.