William Brenner wrote:

- quote -

Pending guidance I've been using the capital improvement vs
repair guidelines to make the determination. If you can
capitalize it and its material to build or construct
something, then its OK with me. I think that analysis would
avoid any penalties to the tax professional. In addition, I
have included in the definition of building materials the
purchase of appliances such as dishwashers, washing
machines, dryers, compactors, furnaces, A/c, toilets, sinks,
etc. that are not replacement items as I feel replacement
appliances are already factored into the tables.

--
Alan
http://taxtopics.net

<< -------------------------------------------------> << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org > << ------------------------------------------------->

Today's (2/13) 'Miami Herald' has a major article dealing
with the conundrum as to whether sales tax paid for
hurricane protection building materials -- plywood, etc --
qualifies as an "additional" sales tax deduction item.

According to the article, an inquiry to a leading local CPA
firm elicited the following response: "Mostly, we don't
know. We've looked at the publncations and there are no
regulations." A South Florida IRS spokesman stated that the
IRS "will be issuing some guidance in the near future".

Actually, this is not an earthshaking problem, as a $200
plywood purchase would generate all of $14 in sales tax.

Fortunately, the "problem" might be short lived. A Florida
legislator has proposed a sales tax "holiday" for hurricane
supplies when a storm is en route.

http://www.miami.com/mld/miamiherald...printstory.jsp

<< -------------------------------------------------> << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org > << ------------------------------------------------->