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GE
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ShellysBookkeeping, post: 199926 wrote:
Congratulations on starting your business. I certainly would not have had the courage to do so at 21. In reply to your question, it depends on your company setup to an extant. The simplest way is to buy it using your company bank account. If you do buy it using your own money, then it becomes part of the owners/shareholders equity in the business.
You won’t pay tax on purchases, they can generally be claimed as deductions or depreciated, although if you are registered for GST you can claim back the GST credits.
Have you registered for GST? If you expect your sales to exceed $75k /yr you will need to register.
I would speak with an accountant about what expenses you can claim for your business.
Good luck

http://www.ShellysBookkeeping.com.au
Shelly@shellysbookkeeping

Hi Shelly

Thank you so much for replying, just one question Shelly so I can get my head around owners/stockholders equity,

so if a) I buy the juicer machine with my own money it would count as owners/stockholders equity? would this scenario be the same as,

b) If I was to deposit my own money (capital) into the business account and than pay for the juicer machine through the business account ?

What is the difference between doing a) and b) is it basically the same thing ?

Thank you so much
Gerry