Hi Brian -



If you are carrying your breeders as inventory on your books (the same way a manufacturing company carries its equipment), then you should be depreciating them against an acceptable depreciation schedule (it has been many moons ago for me, but as I can best recall, I think I used a 5-year schedule ... and this was accepted by the IRS ... I know, because I was audited my 1st year as a business). Your ANSWER: write off the full depreciation value reamining on your books for those animals that have died during that tax year ... by so doing, you realize an accelerated depreciation expense, and hence, decrease your taxable profit. Gosh, I thought I had retired and did not have to think about these kind of things anymore ... wrong!



I will mail you the invoice for my consulting fee ... this will give you another tax write-off! Let's face it ... we really need to move forward with a flat tax, sales tax, or anything other than what we have today.



Till Next Time ... Bill

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