Chickens and taxes

[KrisH]

Guess we should start saving our receipts or feed, power bills (for brooder Lights), Fuel receipts (Transportation to and from the market and feed store, write down your milage) keep track of the hours you spend tending your flock, Dog food for the guard dog, add in all of the rest, then when they want the tax money for selling 10 chickens, go ahead and let them count it as business income. your expenses will far outweigh the income. NOT saying you can deduct it, just saying keep records just in case.

RobertH

 

[Glenmar]

Quote:

So's my Dad.

 

[JD4570]

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So's my Dad.

So am I!

 

[DuckLady]

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PayPal is issuing 1099's if you have over $20K in gross sales AND 200 sales.

A 1099 is just a gross income statement. You report it and deduct business expenses. Not that big a deal with careful record keeping.

 

[Rusty Hills Farm]

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PayPal is issuing 1099's if you have over $20K in gross sales AND 200 sales.

A 1099 is just a gross income statement. You report it and deduct business expenses. Not that big a deal with careful record keeping.

You use your Schedule C, list the total income from your chickens/hobby farm, then deduct all your expenses. Now, I believe because it is a hobby and not your business, once you go in the hole expense-wise you cannot deduct your loss, but you sure don't pay any taxes. It's just more annoying IRS paperwork and not some big deal at all.

Rusty

 

[Nitrous]

You can still take raising the chickens off your taxes as a business expense. The 1099 is for reporting taxable income other than your regular job. If you would prefer to continue selling and profiting illegally, you can still use craigslist. You were *ALWAYS* supposed to be reporting that income, on your taxes, at the end of the year. The auction is only now, not letting you do it on your honor. Now, like your regular day-job, they take it out, and/or report it.

It's a change, that's for sure.

If it is not a business, you can only deduct up to the actual price at which you sold the chickens. If you are selling chickens at a loss, as a hobby, I'd recommend you stop doing that. If you sell them at a loss as a business, I'd vote for you, if you ran for office, because you have "got what it takes!".

 

[Baymule]

Don't like more and more restricting laws? Don't like the Federal Government sticking their long nose in your business?? Vote. Vote the bas@%&ds out of office. Get active for the opponent candidate. Vote them out. Fire them.

 

[HeatherLynn]

I do taxes and am actually already working on filing farm taxes for the first time for myself this year. The cost of raising chicks, getting breeding stock and such is way more than most would normally make. On your taxes you would file farm income and there you can deduct all your expenses. You might actually find this gives you a bit of a tax break. These forms are wicked easy honestly and if you use some of the free online programs to do your taxes they will take no more than an extra 5 minutes.

Someone mentioned listing this as a hobby. You can do that BUT hobby loses are not deductable from the rest of your income. A farm loss is deductable from the rest of your income. You may not recoup much but make up for some of these higher prices for feed.

 

[dainerra]

as someone said, it's NOT a new law. You have been supposed to be doing this all along. The only difference is that the auction now has to do the necessary paperwork to insure that "honest"' citizens aren't taking the money under the table.

 

[bayoubowhunter]

LET,S ALL VOTE 2012 IF WE DON,T VOTE WE DON,T HAVE A SAY. SO VOTE WHY WE STILL CAN