Your 26M as a business (deductable?)

[mikelinmon]

The Macgregor 26M as a business!
Macgregor's best sales people are MacGregor owners
But, Mac also has boat dealers. Boat dealers display our boat in boat shows, they have boats on display, they do demos, and handle delivery as well as service after the sale. If you have a local dealer who does these things and more in your town, he is not going to need you for this. Local dealer comes first. This program is for owners not in a dealer’s town, city, boat show area, etc.

Many Macgregor owners love their boats so why not make them dealers? If you have a 26M and want to demo and sell a boat for us we will pay you a commission of $500. Register your boat and yourself with us first. If a prospective new Mac owner calls us and if we don’t have a dealer in your area, we will connect them with you; after they take delivery from us we’ll send you the $500. Better still, find your own prospective Macgregor sailor and take them sailing. Send the customer info to us, the boat sells itself as you know, and we’ll do the rest.
See your tax man; maybe your hobby can be tax deductible. Call me to get the ball rolling. Read the following fine print.

A) Register yourself with us first, serial number of your boat and your phone #, address and e-mail. (just e-mail me and we’ll talk)
B) The customer may already be working with us at the factory or a Macgregor dealer, you are not eligible for that customer or the $500.
C) These reasons or other reasons similar to; you might not be eligible for that customer or the $500.
D) We will help you with the closing, insurance for the customer, financing for the customer, shipping to or any other thing we can do to help you earn the commission.
E) You must register the customer’s name, phone # and e-mail with us before or quickly after the demo.
F) Where possible, assist the customer receiving and first sailing of his new Macgregor.
H) We will send you some more conditions such as signed statement from customer etc, after registration with us. Since this is a work in progress, we will change conditions as needed.

Mike Inmon (949) 642-6830 [email protected]

[traderdave]

Hi Mike

I am interested I have a 1998x that I bought a year ago, when looking for it I went to the Local dealer to see if they had anything used. They didn't seem to have much interest in helping me out so I located the boat myself. I made a good deal and now have this one listed for sale. The going price around the area is $20,000 and I will make a few thousand on this one. I have been getting lots of enquiries from the six free sites where I have it listed from Alberta and the Interior of British Columbia
I did some work on the boat and fixed up a few things and bought the parts from Bluewater in Seattle and they provided great service. The local dealer was hard to get ahold of and did not seem interested when I did get in touch, whereas BlueWater was on the ball, so they got the business. I know a couple of local guys that have Macgregors and they usually order from BlueWaterand they have have better luck with them.

I used to own a marine water taxi, and freight business and have contacts in the marine business. I have also done the groundwork to set up a little spare time charter business and use a Macgrgeor which we can get approved byTransport Canada. Since we will be looking to take people on the boat, sales may be an additional part that would fit in.

I am looking to pick up a newer x model in Washington state where they sell for about $5000 less than in Canada. The idea was to import it and use it for a while and sell for a profit. If I could use it as demo and write that off along with Chartering and also some training for operators to get the Pleasure craft operators certificate with actual time on a boat that could make a nice little side business. I have worked as a financial planner for the last ten years and am interested in a fun business for retirement. Let me know your thoughts about this!!!!

[Russ]

I just walked in from picking up my tax returns for '09. *ouch*

Deduction huh? I should ask my accountant.



--Russ

[Scott]

What mike is proposing sounds good. If you are considering deducting it as entertainment, Think again. Or talk to your accountant first.

The first year I had my Mac I took a good # of customers sailing. I asked my accountant about this and he said I could do it as long as I had good records.........................and didnt want to audited EVERY YEAR that I claimed it.

[AWKIII]

What sounds too good to be true, probably isn't.

In this particular case, it definitely isn't.

There is no way of deducting your boating expenses based on what Mike has proposed. The IRS will allow any new business to show an operating loss for a reasonable period of time before it must show a profit.

As Scott mentioned, you better have spotless records and expect an audit. Should you go through one and the write off is disallowed, they will nail you for back taxes, interest and penalties.

I have been through an audit once in my life and NEVER want to experience it again. It lasted close to a year and the documentation they require is mind boggling.If you have fudged something, they will find it. The only one who made out in the deal was my CPA. But it was well worth having him there to deal with them.

[traderdave]

I currently do taxes for a living in Canada - If you want to deduct the boat - you need to have a business that does chartering - then you have a business that is set up supposedly to " have a reasonable expectation of profit", if you don't make a profit then the rulings that have come out say that Revenue Canada cannot penalize you if you are a poor business person and can't make a profit. This does not need to be a incorporated business.

A buddy runs a 110 ft boat for a guy and he has a separate company for the boat which does a few charters a year, but is used mostly for entertaining customers and he writes off the expenses. This is bit bigger deal and so it is incorporated. If you want to charter this boat it is around 50k a week. He donates some charter trips to charity, so I am sure that is another write off the way he has it structured.

[AWKIII]

Ha!

There is a big difference between a poor business person and someone looking for a tax shelter.

The poor business person will eventually close the doors.

The person looking for a tax shelter will eventually get nailed in the U.S.. Doesn't make any difference if it is raising livestock, chartering boats, sale/leasebacks or any of the other schemes that have come and gone over the years. If the business does not turn a profit in one year during the first seven, it is considered a hobby.

Of course, there are new loopholes that pop up every day compliments of congress. Anyone get a free golf cart last year compliments of Uncle Sam? Mike Huckabee, former Governor of Arkansas, got six. John Stossel of Fox News got one as well. The dealer he got his from said he sold 7,000 of them due to the tax credit. The tax credit? Energy savings on electric vehicles.

[Russ]

Well, there is no way I am expecting to count my boating expenses as a deductible.

However, IF I collect Mike's $500 commission, you better believe I'm going to deduct my "sales" expenses from THAT income.

If I spend a weekend of gas selling a customer to gain $500 bucks, that's the cost of business.

Nevertheless, my accountant will be the final judge of what's deductible and he's very conservative. *ouch* I wish he found more deductions for '09.


--Russ

[jschrade]

A dealer put me in touch with a local Macgregor owner that showed me his boat and then mentioned it was $100 for a "test sail!".

Guess these are the times that we live in.


Jim

[Kelly Hanson East]

what Art said....

live life to avoid the IRS (for men) and Tiger woods (for women)

[mikelinmon]

You Guys are correct about tax deductions. Need to be related to income in some way, scale to suit. Don't take much more than you can earn or do earn. But, counrt all costs of doing business. More to the point.
The title of this should have been as below. The word maybe should be underlined and bold face in relation to tax man. Any other ideas will be appreciated. This will go on my web site and as a banner ad on this Forum as soon as possible, still need to tweak or adjust wording. Heath, any ideas? Anyone?

Maybe your Macgregor 26M can be a part time business!
Our best sales people are MacGregor owners
But, we also have boat dealers. Boat dealers display our boat in boat shows, they have boats on display, they do demos, and handle delivery as well as service after the sale. If you have a local dealer who does these things and more in your town, he is not going to need you for this. Local dealer comes first. This program is for owners not in a dealer’s town, city, boat show area, etc.

Many Macgregor owners love their boats so why not make them dealers? If you have a 26M and want to demo and sell a boat for us we will pay you a commission of $500. Register your boat and yourself with us first. If a prospective new Mac owner calls us and if we don’t have a dealer in your area, we will connect them with you; after they take delivery from us we’ll send you the $500. Better still, find your own prospective Macgregor sailor and take them sailing. Send the customer info to us, the boat sells itself as you know, and we’ll do the rest.
See your tax man; maybe your hobby can be tax deductible. Call me to get the ball rolling. Read the following fine print.

A) Register yourself with us first, serial number of your boat and your phone #, address and e-mail. (just e-mail me and we’ll talk)
B) The customer may already be working with us at the factory or a Macgregor dealer, you are not eligible for that customer or the $500.
C) These reasons or other reasons similar to; you might not be eligible for that customer or the $500.
D) We will help you with the closing, insurance for the customer, financing for the customer, shipping to or any other thing we can do to help you earn the commission.
E) You must register the customer’s name, phone # and e-mail with us before or quickly after the demo.
F) Where possible, assist the customer receiving and first sailing of his new Macgregor.
H) We will send you some more conditions such as signed statement from customer etc, after registration with us. Since this is a work in progress, we will change conditions as needed.

Mike Inmon (949) 642-6830 [email protected]

[elvatoli]

I will be interested
There is no dealer around 500 miles from here
I have a 2000 X, but with only the 9.8 hp Tohatsu
This is a very good place to promote this boats since we have a lot of shallow areas.
Hector
Port Isabel, South Padre Island, TX. Rio Grande Valley