Yorkies and Taxes - YorkieTalk.com Forums

gleim516 · 02-17-2006, 04:26 PM

I have a question about taxes and yorkies. If you become a breeder are you required to report what you make from the puppies as income? My husband and I were talking about this last night and were curious.

lovelilly · 02-17-2006, 04:28 PM

I am paying sales tax to the breeder on the puppy I am getting...I guess that would mean they are reporting it as income.

I don't know anything about tax so that is just my guess.

Princessyorkies · 02-17-2006, 04:29 PM

In certain states it is now required.
We will pay taxes till we die......

mustangbee · 02-17-2006, 04:40 PM

Quote:

Originally Posted by Princessyorkies

In certain states it is now required.
We will pay taxes till we die......

LOL
I have been working on Taxes all week!

I can't wait for April 15th!!!

I think you have too, but it depends on your State.
You can call IRS

but the only way they would know that your Breeding, is if you add taxes to your litters. So I'm really not sure, but I do know if you tax someone, the IRS will find out about it down the road. Good Luck to you, Sorry I wasn't a help.

SnowWa · 02-17-2006, 07:01 PM

I doubt that anyone selling puppies from only one litter reports any income -

But if you are really into breeding and raising and selling puppies, it should be reported as income --- along with all the expenses that you can document. In the end, not much tax should have to be paid - and often people end up with a loss.

If you do report raising Yorkies as a business - keep every receipt imaginable. Food, grooming, vet, toys, beds, advertising, (gas milage to shop and care for your dogs).. and on and on and on.

Good luck!

Carol Jean

TXGirl · 02-17-2006, 07:24 PM

Yes, you would definitely have to report your income. Of course, you could write off all your expenses too!

gleim516 · 02-17-2006, 10:48 PM

This was just something to think about for those who are wanting to get into breeding. I know that I wouldn't be that serious into making it my business more like a hobby and only for two litters. Thank you for all your input on this question.

SnowWa · 02-17-2006, 11:20 PM

Only two litters would probably be considered a hobby.

But ---remember there is a large section in the IRS booklet describing the difference between hobbies and businesses. I guess a lot of people like to consider some things hobbies ---that the IRS considers a business.

Anyway - if any of you need to check these regulations - they are fairly easy to understand.

Carol Jean

02-17-2006, 04:26 PM	#1
gleim516 Senior Yorkie Talker Join Date: Jun 2005 Location: Arizona Posts: 163	Yorkies and Taxes I have a question about taxes and yorkies. If you become a breeder are you required to report what you make from the puppies as income? My husband and I were talking about this last night and were curious. __________________ **~Prince Harley & Princess Lexi's Mommy~**

02-17-2006, 04:28 PM	#2
lovelilly Donating YT Addict Join Date: Jan 2006 Location: Henderson CO Posts: 640	I am paying sales tax to the breeder on the puppy I am getting...I guess that would mean they are reporting it as income. I don't know anything about tax so that is just my guess. __________________ We our yorkie family Tucker, Lilly & Scout! More info on me and my family http://www.myspace.com/99824468

02-17-2006, 07:01 PM	#5
SnowWa YT 2000 Club Member Join Date: Nov 2005 Location: USA Posts: 2,992	I doubt that anyone selling puppies from only one litter reports any income - But if you are really into breeding and raising and selling puppies, it should be reported as income --- along with all the expenses that you can document. In the end, not much tax should have to be paid - and often people end up with a loss. If you do report raising Yorkies as a business - keep every receipt imaginable. Food, grooming, vet, toys, beds, advertising, (gas milage to shop and care for your dogs).. and on and on and on. Good luck! Carol Jean __________________ http://tinypic.com/ipxhmb.jpg A Yorkie is worth a thousand words.

02-17-2006, 07:24 PM	#6
TXGirl Senior Yorkie Talker Join Date: Dec 2005 Location: McKinney, TX Posts: 166	Yes, you would definitely have to report your income. Of course, you could write off all your expenses too! __________________ Phyllis ( Gracie's and Toby's Mommie) Last edited by TXGirl; 02-17-2006 at 07:25 PM. Reason: Typo

02-17-2006, 10:48 PM	#7
gleim516 Senior Yorkie Talker Join Date: Jun 2005 Location: Arizona Posts: 163	This was just something to think about for those who are wanting to get into breeding. I know that I wouldn't be that serious into making it my business more like a hobby and only for two litters. Thank you for all your input on this question. __________________ **~Prince Harley & Princess Lexi's Mommy~**

02-17-2006, 04:29 PM	#3
Princessyorkies Owned by my Furbabies Join Date: Jan 2006 Location: Ohio Posts: 1,482	In certain states it is now required. We will pay taxes till we die......

02-17-2006, 11:20 PM	#8
SnowWa YT 2000 Club Member Join Date: Nov 2005 Location: USA Posts: 2,992	Only two litters would probably be considered a hobby. But ---remember there is a large section in the IRS booklet describing the difference between hobbies and businesses. I guess a lot of people like to consider some things hobbies ---that the IRS considers a business. Anyway - if any of you need to check these regulations - they are fairly easy to understand. Carol Jean __________________ http://tinypic.com/ipxhmb.jpg A Yorkie is worth a thousand words.