Need to Register?

bornover · October 8th, 2009

When you buy a graphic art package from say Greatdane Graphics for example, is it an asset, expense or cogs to the IRS?

Anyone with an idea of where it goes on your tax returns?

tfalk · October 9th, 2009

I believe it would be considered an asset since it is being used continually in the manufacturing of your garments. You could either depreciate it according to the schedules or section 179 and write it off in the first year.

BiGGraphics · October 9th, 2009

Anything to do with software, graphics suites or the graphics themselves, I do as the previous post and write off the same year as purchased. This business is one of creativity and sales; therefore, I adapt to the market. Given the possible lifespan of software, I write off the same year.

Need to Register?

Resources

T-Shirt Sites

What does the IRS consider graphic art to be?