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Accounting & Bookkeeping & Small Business Forum
Accounting, Bookkeeping, Marketing, and Small Business Resource
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Guest
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| Posted: Fri Feb 13, 2004 12:18 pm Post subject: Tax deduction for unpaid credit card charges? |
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| I heard that a business using the cash method of accounting can deduct on their 2003 return business expenses posted on their credit card statement in December 2003 but not paid for until 2004. If this is true, could someone disclose the code section or the regulation reference where this is stated and/or the IRS publication? |
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Guest
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| Posted: Sun Feb 15, 2004 7:48 am Post subject: RE: Tax deduction for unpaid credit card charges? |
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| YOU WOULD DEDUCT IN 2003 |
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Guest
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| Posted: Sun Feb 15, 2004 8:10 pm Post subject: RE: Tax deduction for unpaid credit card charges? |
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Dear Richard,
Thanks for the confirmation, but can you tell me the code section, regulation, and/or IRS publication which confirms this? |
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Guest
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| Posted: Thu Mar 11, 2004 6:17 pm Post subject: RE: Tax deduction for unpaid credit card charges? |
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| Think about the expense, it was incurred in 2003, and what is key when setting up a new business is you set the boundries from the start. Such as operating on a cash or accrual basis, when your cut-offs will be -such as the record of sales, deductions (includes bills you receive for cell phone, utilities), etc. |
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