Back to Ganoksin | FAQ | Contact

The Tax Man


#1

It being that time of year in the States, I am curious about what
NAICS code others who are silversmiths use to categorize their
business. I, unfortunately, was classified by my CPA as using the
accrual accounting method and want to change to the cash method. I
need to file a change form with the IRS and need to know what NAICS
code I should be classified under. Right now it is in with the
manufacturing group.

Any help is gladly received.
Susan


#2

Curious – my accountant just told me I had to use the accrual
method because I keep an inventory (must track cost of goods sold,
inventory, etc.). I am totally ignorant of tax matters but this
seemed reasonable. I have started using Quickbooks as my software,
to track accounts in inventory, cost of goods sold, etc.

Why do you say “unfortunately, was classified . . . as using the
accrual method”, Susan?

Thanks!
Roseann


#3

It’s already April 15 so this may be too late to help this year, but
I use the category 711510 - “Independent artists, writers, and
performers.” This falls under the part of the tax code that exempts
the fine artist from tracking inventory and only deducting supply
costs for items actually sold during the year. To use it you have to
view your work as fine art - sculpture - and promote it accordingly.
I believe this has many advantages and few if any disadvantages.

Catherine Jo Morgan
http://www.cjmorgan.com
http://radio.weblogs.com/0120691
energyart@cjmorgan.com