|
#2
| |||
| |||
| "Learn" <angie_sc...[at]yahoo.ca> wrote: - quote - > In the event that I use a cell phone for both personal and
The CRA's stance of a phone used for both personal and> business use how would I divvy up and separate the expense > in an accounting software if I pay a flat monthly fee? Would > i just calculate the percentage of personal calls vs > business calls based on minutes? Then use this formula for > the rest of the year's invoices? > Would i use the following Tax Line? > T2124 Business: Telephone Utilities > Please help, my head hurts form all of this. business is that there is no division between personal and business. As a result, I generally recommend to people to never use the cell phone for personal calls. In your case, you have a cell phone used for both. You can not count the monthly connection, 911 service and all the other fees. You may count only the long distance charges associated with the business calls. You claim on the Telephone line of the 2124. << ================================================== ===== > << The foregoing was not intended or written to be used, > << nor can it used, for the purpose of avoiding penalties > << that may be imposed upon the taxpayer. > << > << The Charter and the Guidelines for submitting posts > << to this newsgroup as well as our anti-spamming policy > << are at www.asktax.org. > << Copyright (2006) - All rights reserved. > << ================================================== ===== > |
|
#1
| |||
| |||
| "Learn" <angie_sc...[at]yahoo.ca> wrote: - quote - > In the event that I use a cell phone for both personal and
If this is your only cell phone and you use it for both> business use how would I divvy up and separate the expense > in an accounting software if I pay a flat monthly fee? Would > i just calculate the percentage of personal calls vs > business calls based on minutes? Then use this formula for > the rest of the year's invoices? > Would i use the following Tax Line? > T2124 Business: Telephone Utilities > Please help, my head hurts form all of this. personal and business purposes, the IRS position is that none of it is deductible as business expense. This is similar to the first phone line into the house being considered personal use and only a second phone line can be deducted as business expense. Only if there are additional charges for business use (such as exceeding your monthly minutes) can you deduct your cell phone charges as a business expense. Dennis << ================================================== ===== > << The foregoing was not intended or written to be used, > << nor can it used, for the purpose of avoiding penalties > << that may be imposed upon the taxpayer. > << > << The Charter and the Guidelines for submitting posts > << to this newsgroup as well as our anti-spamming policy > << are at www.asktax.org. > << Copyright (2006) - All rights reserved. > << ================================================== ===== > |
| | |||
| |||
| "Learn" <angie_scrub[at]yahoo.ca> wrote - quote - > In the event that I use a cell phone for both personal and
Yes.> business use how would I divvy up and separate the expense > in an accounting software if I pay a flat monthly fee? Would > i just calculate the percentage of personal calls vs > business calls based on minutes? - quote - > Then use this formula for
You should do that (divvy up between personal and business)> the rest of the year's invoices? each month. - quote - > Would i use the following Tax Line?
Yes.> T2124 Business: Telephone Utilities - quote - > Please help, my head hurts form all of this.
It's not that difficult for most of the common expenses of abusiness. -- Paul Thomas, CPA paulthomascpapc[at]bellsouth.net << ================================================== ===== > << The foregoing was not intended or written to be used, > << nor can it used, for the purpose of avoiding penalties > << that may be imposed upon the taxpayer. > << > << The Charter and the Guidelines for submitting posts > << to this newsgroup as well as our anti-spamming policy > << are at www.asktax.org. > << Copyright (2006) - All rights reserved. > << ================================================== ===== > |
|
#-1
| |||
| |||
| In the event that I use a cell phone for both personal and business use how would I divvy up and separate the expense in an accounting software if I pay a flat monthly fee? Would i just calculate the percentage of personal calls vs business calls based on minutes? Then use this formula for the rest of the year's invoices? Would i use the following Tax Line? T2124 Business: Telephone Utilities Please help, my head hurts form all of this. thanks << ================================================== ===== > << The foregoing was not intended or written to be used, > << nor can it used, for the purpose of avoiding penalties > << that may be imposed upon the taxpayer. > << > << The Charter and the Guidelines for submitting posts > << to this newsgroup as well as our anti-spamming policy > << are at www.asktax.org. > << Copyright (2006) - All rights reserved. > << ================================================== ===== > |
| Tags |
| business, t2124, telephone, utilities |
Similar Threads | ||||
| Thread | Forum | Replies | Last Post | |
| Telephone Tax Refund Question William Brenner: I posted this query in an earlier thread, but received zero responses. Here it is again: My wife and I have a zero income adult dependent son... | Taxes | 11 | 12-30-2006 07:07 PM | |
| Deduction for utilities expense in home sale? Jim Beaver: We've had our home on the market for two or three months during a pretty hot summer. In order to make the house more appealing both directly and... | Taxes | 1 | 09-08-2003 02:11 AM | |
| Accessing Uploads via Cable modem instead of Telephone ISP Matt: I recently changed ISP providers from AOL (telephone) to a broadband cable provider but can't seem to find the way to get money 2002 to recognize... | Microsoft Money | 2 | 07-22-2003 01:05 PM | |
| Thread Tools | |
| Display Modes | |
| |