Tax deduction idea, would it work?

[moody dude]

Hi all,

I am moving in February, and I will be adding equipment for a second room plus furnishing a waiting room.

My idea, would be to sell all my equipment that I now have either to myself or a family corp I have formed, and they have myself or my newly formed family corp buy the rest of the furnishing and large equipment I would need and then renting all this stuff to my massage business.

Has anyone done anything like this? Would this be a tax advaneforum.xxxe? Any tips or ideas? Is this a good idea or a bad one??

TIA

 

[C C]

huh? this one's got me confused? how much money is any of that madness really going to save you? seems like more trouble than it's worth in my opinion.

 

[Daniel - Mr. Ripley]

I kind of get what you are asking, but I agree that it would probably be more trouble than it is worth. Your accountant could give you specific numbers, though, plus know the laws on exactly how it can be done, so I'd ask there.

 

[sas35353535]

I agree - talk to the accountant first.

If you've formulated a family corporation, you will need an accountant anyway. Those can get tricky.

 

[Pompal 09.]

Usually that plan works best if you own (or are buying) the building you use, and wish to lease it to your DBA. Or if you have large, expensive equipment. Contractors do this with their heavy machinery.

I don't know that it would be that advaneforum.xxxeous with massage equipment. It is legal, though for those small numbers it might look like enough of a tax dodge to get your file flagged for audit.