Please HELP Tax ?? C or F ?

[SherrieC]

I am running my business as a Sp , but over 95 % of it is "goat" milk Soap, and herbs which is "Farm income" is there any easy answer for this? should I

# 1. just file the whole business under the Farm forms?

# 2. Or should I sell my business herbs and milk from the farm? in that way all the $$ coming from the store front would be reported on the shedule c as cost, and the cost of the milk and herbs filter back as money from the farm?
speak slowlly I'm under the influence here : ) had a deer van accident last week and I'm happily living in the land of vicadan, drugs and taxes don't mix :baby04:

[Jennifer L.]

Why can't you fill out both C and F? For the goats and herbs you need F so you can take off those expenses, but for the soap, C. Or it seems like to me. Maybe someone else knows more about this, though. I've only ever used F.

Sorry about the accident! At least you've got "good drugs" for it.

Jennifer

[michiganfarmer]

Originally Posted by SherrieC

drugs and taxes don't mix :

well they kinda do. Taxes are the reason we do drugs

[morrowsmowers]

Originally Posted by SherrieC

I am running my business as a Sp , but over 95 % of it is "goat" milk Soap, and herbs which is "Farm income" is there any easy answer for this? should I

# 1. just file the whole business under the Farm forms?

# 2. Or should I sell my business herbs and milk from the farm? in that way all the $$ coming from the store front would be reported on the shedule c as cost, and the cost of the milk and herbs filter back as money from the farm?
speak slowlly I'm under the influence here : ) had a deer van accident last week and I'm happily living in the land of vicadan, drugs and taxes don't mix :baby04:

Selling farm made products from the farm would be most easily filed on a sched. F. Use the sched. C if you have a separate business that is not farm related.

That is how it was related to us for the plant business my DW is getting started in.

Ken in Glassboro, NJ

[SherrieC]

max, lol!

thanks Ken I'll crunch the numbers that way and see what I get!