Friday, May 21, 2010

Can you deduct a Sam's Club membership on your schedule C?

If a Sam's Club membership is used to purchase items for your business, can you deduct the cost of the membership on your Form 1040 Schedule C?

Can you deduct a Sam's Club membership on your schedule C?
Yes....for the business portion of your purchases.





If 100% of your Sam's Club purchases were for business related items, 100% of the membership would be deductible.





If not all of your purchases were business related you would have to prorate the membership fee down based on the percentage of business to total purchases.
Reply:yes the membership is a legit business expense.
Reply:Maybe. Is it a business membership, and are you using it just for business items or for personal also?
Reply:talk to your CPA.

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