Home – New Forums Starting your journey Tax Deduction – used Equipment

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    Hi all,
    Getting to that time of year again, I have a quick question for the tax gurus, since my hobby has grown to a business quickly its outpaced me in a few areas.

    Namely: I make products, from raw materials, using molds.
    How do I account for the raw material since the variety and amount varies wildly and is near impossible to account for per sale. Do I write the whole amount off in my tax and then as I sell pay tax on full sale price? Seems the most sensible option.

    Secondly the molds I understand are a deduction for the full cost (maximum of $200 per mold my cost), does this still apply if they are bought used? Or is it only for new goods?

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