Small Business Dedections for Your Backyard Farmer/ Florist Business

Don't you just love tax season? It gives my husband and I hives every year. 

For years we've done our own using Turbo Tax but with the launch of Dandelion House Flower's last year we decided to hire an accountant knowing we could benefit from some small business deductions. We don't have employees ( yet ) so all I had to provide was a list of any additional business income that wasn't already reported on our 1099 forms and expenses. No additional documentation was needed other than providing the name of our business.

 I thought I'd share the list we used this year. 

BUSINESS INCOME

  Farmers markets, farm stand, event work, gift certificates/cards, weddings, wholesale, CSA subscriptions, consultations, speaking engagements, workshops,etc.

 BUSINESS EXPENSES

 Advertising, business cards, labels, stickers, signage, phone, Internet, printers, ink, fees for industry organizations/publications, ( yes, even those Wedding magazines you pick up at the grocery store count ) meals, shows, travel, office supplies, construction supplies, garden supplies, floral design supplies, tools, equipment, plants, shrubs, seeds, soil, irrigation, etc.

DONATIONS

 Charities, gift certificates, gift cards, and flower arrangement's.

( Did you donate flowers to a nursing home or hospital last year? )

AUTO

Keep track of all mileage to and from client appointments, pick up and deliveries for events and weddings, meetings, speaking engagements, workshops, farm tours, meals, etc. I'm keeping track of my mileage with Mile IQ for I Phone for 2016! How easy is that? 

Looking back at our last year in dollars and cents gave me true picture of what it cost to make it all happen!

ORGANIZATION

This is key to keeping track of what's what from season to season. I confess, I'm not a spread sheet gal but I did pile all of my receipts into a wire basket throughout the growing season and put them away for the winter. When it came time to make my list, I knew right where to look. 

I hope this helps those of you thinking about farming your garden into a small business some day. It's easy when you start small, right in your own backyard, and have a good accountant!