Hi, I recently formed a single member LLC. Prior to forming the business, I made a few purchases using personal funds. The purchases are somewhat small (around $250 for receipt printer, $90 for a cash drawer, several other $50-80 small electronic equipment purchases, a couple $20 supply purchases).
Because these purchases are rather small, is it ok if these are expensed instead of depreciated? I'm somewhat concerned because these are small purchases, but they have a useful life of more than a year and are equipment purchases.
Is it possible to use the date I began using these smaller purchases in the business instead of the date I purchased them on the receipt? I would like to expense these as if I converted them from personal to business use, and not have them as a part of "start-up costs" on my tax return. How would I make an entry like this into QuickBooks?
Thank you in advance for your help!
Because these purchases are rather small, is it ok if these are expensed instead of depreciated? I'm somewhat concerned because these are small purchases, but they have a useful life of more than a year and are equipment purchases.
Is it possible to use the date I began using these smaller purchases in the business instead of the date I purchased them on the receipt? I would like to expense these as if I converted them from personal to business use, and not have them as a part of "start-up costs" on my tax return. How would I make an entry like this into QuickBooks?
Thank you in advance for your help!