Question

Can I write off a jet ski I will be using for a jet ski rental business? I am not incorporated & the jet ski is registered in my name.

Forum|Forum|7 years ago
June 5, 2019
1 reply
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The jet ski was purchased in 2015 for a jet ski rental business I am starting in 2016. I have not created a business to encompass the jet ski in (i.e., LLC, etc.) yet and the jet ski is registered in my name (i.e., not the non-existent business name).

TurboTax Self Employed Online

A

AnnetteB6

Yes, the jet ski can be written off as a business expense, but on your 2016 return after you have started your business instead of the 2015.

Even though it may have been purchased for the business you plan to start in 2016, you will need to wait to include it as part of your tax return for 2016. It cannot be considered to be a startup cost for the business. It would be considered a business asset or equipment that will be depreciated.

When you are working through the income and expenses section of the tax return for the business in 2016, it will not matter that the jet ski was purchased in 2015. It will have been placed in service for the business in 2016.

Please take a look at the article Startup Business Tax Tips for more information about startup costs and some other tips.

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