Small Business - Trading Services

[danj]

Is trading services in lieu of monetary payment alright? If so, how does the accounting on that work? For instance, can I trade my time building a website for a butcher for meat? Or could I trade computer repair at a restaurant for gift cards or food?

Thanks
Dan J.

 

[kirby]

Technically......., IRS calls this "barter" income and says you have to report it as income on your tax return. They ask that you figure out the fair value of the services or property you received and report that amount as income.............But, yeah, you can do this (of course as long as the transactions are not themselves illegal)