"Sassy Baskets, EA" <sassybaskets[at]hotmail.com> wrote:

- quote -

A static ip address with the same upload speed as download
speed costs $120 plus in our area. One with decent
bandwidth is over $250 a month. So I think the OP is
getting a deal. Why they need that package when their web
site is hosted elsewhere is another question.

We have standard dsl at $60 a month. Up is 384, down is 3.0
mb.

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Sassy Baskets, EA wrote:

- quote -

I have a client who maintains a server that contains
proprietary information for several hundred very large
manufacturers. He spent far more than that on a firewall
system after he detected hackers going after his server. How
much do you think ebay spends on servers?

--
Frederick E. Jorden http://Tax-Accounting-Payroll.com
7825 Midlothian Tpk - 207 Richmond, VA 23235-5247
EMAIL knowtax[at]bigfoot.com
(804) 320-6210 FAX (804) 320-6211

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Wow, $2500 for any kind of broadband account seems excessive
for almost any business use. Is there some reason you can't
use your residential account? Are you transferring
seriously huge amounts of data or what?

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Arthur L. Rubin" <ronnirubin[at]sprintmail.com> wrote:
- quote -

In my case I book Web hosting under "advertising". I don't
sell anything on my Web site - it is used only as an
information source for current and potential customers.

--
Vic Roberts
Replace xxx with vdr in e-mail address.

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alice_conyers[at]hotmail.com wrote:

- quote -

I'm not sure that web hosting should be consider
"utilities", but you can't go wrong with using "Other". The
IRS computers might kick it out for a human to look at, but
I agree that your expenses are normal for your business.

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alice_conyers[at]hotmail.com wrote:

- quote -

You should seriously consider engaging the services of a
local tax professional (CPA or EA) to prepare your tax
return for this first year of your new business. There are
several pitfalls and opportunities that you might miss.

<<SNIP>
- quote -

"Other expenses" and details on line 48 is the way to go.

Good luck.

Regards,
Bill

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alice_conyers[at]hotmail.com wrote:

- quote -

You should seriously consider engaging the services of a
local tax professional (CPA or EA) to prepare your tax
return for this first year of your new business. There are
several pitfalls and opportunities that you might miss.

<<SNIP>
- quote -

"Other expenses" and details on line 48 is the way to go.

Good luck.

Regards,
Bill

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Put them on page 2 near the bottom where there is room for
"other" deductions - and identify them. Yes - details are
helpful as the expenses are normal and usual for your type
of business.

Nan, EA in LA

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alice_conyers[at]hotmail.com wrote:

- quote -

We generally put expenses such as telephone, long distance,
natural gas, electricity and water/sewer as utilities and
the other items which you mentioned as "other expenses" with
a description. "Internet access and web hosting" would be
all you would need as a description.

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<alice_conyers[at]hotmail.com> wrote

- quote -

The IRS computers don't have eyebrows. Not since the
computer upgrade a while back.

- quote -

In any event, place that type of expense under "Other
expenses" with whatever notations you feel are appropriate
and be done with it.

If someone (the computer or a person) has any questions,
they'll send you a notice requesting additional information.

--
Paul A. Thomas, CPA
Athens, Georgia
taxman at negia.net

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This is my first year filling a Schedule C for my business,
a single member LLC filing as a sole proprietorship.

My company is Internet based with no tangle goods and is run
out of my house. I don't have room for an office that is
100% used by the business so I'm not claiming a home office
deduction.

My two major expenses are Internet access via a commercial
broadband account which came to just over $2,500 for the
year and the costs of website hosting which was around $600.
I also have a residential broadband account so I can claim
100% business use for the commercial account.

The question is exactly where should I place these expenses?
Right now I have them lumped together on line 25 under
"Utilities" but I'm wondering if $3,372 for Utilities might
raise eyebrows at the IRS? Should I instead file the
Internet access and hosting costs under line 27 "Other
expenses" and put the details in line 48?

Thanks for any answers and advise!

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