Quicken Home & Business 2007 - Help Getting Started

Posted by Andrew on June 1, 2007, 7:58 am

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Jim Jensen wrote:

> Since then, I've been able to separate personal and

> business transactions and reporting with a level of sophistication

> unmatched by two checking accounts. But that's me. If two checking

> accounts work for you, have at it.

Jim - Be clear I'm NOT talking about using Quicken and how it may help
separate your reporting - indeed, with CLASSES, you certainly CAN make the
reports different and clear - I'm talking about the physical underlying bank
accounts themselves. As someone else pointed out, in an IRS audit, I
believe the very fact you have co-mingled accounts will immediately think
that indeed you ARE playing loose with the funds no matter how your 'report'
them. All may be very well and in the up and up, but you'd already be
starting from a defensive position. Why take the chance?

But whatever! If indeed it works for you, no problem.

--
-------------------------------------------------------------
Regards -

- Andrew

Posted by Jim Jensen on June 1, 2007, 10:44 am

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>> Since then, I've been able to separate personal and

>> business transactions and reporting with a level of sophistication

>> unmatched by two checking accounts. But that's me. If two checking

>> accounts work for you, have at it.

> Jim - Be clear I'm NOT talking about using Quicken and how it may help

> separate your reporting - indeed, with CLASSES, you certainly CAN

> make the reports different and clear - I'm talking about the physical

> underlying bank accounts themselves. As someone else pointed out, in

> an IRS audit, I believe the very fact you have co-mingled accounts

Actually, what you don't want is commingled income and expenses. That's =
the bottom line. If two bank accounts help, that's great.

> will immediately think that indeed you ARE playing loose with the

> funds no matter how your 'report' them.

Sorry. That's just not true.

Posted by Andrew on June 2, 2007, 8:32 pm

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Jim Jensen wrote:

> Sorry. That's just not true.

OK - we disagree.

Just Google USENET groups with "irs comingling business personal audit" and
you'll see a number horror stories...one
(http://groups.google.com/group/alt.crafts.professional/browse_thread/thread/65c4ecae128da020/2dedf5fa29b44d42?lnk=st&q=Painted+Babies+Originals+audit&rnum=4#2dedf5fa29b44d42)
reads: "The IRS considers it "comingling" and definetly frowns on that
practice and can make life hell on earth. I would get another accountant,
personally.
Having been an IRS auditor years ago, I can guarantee you a full field audit
should you be lucky enough to be selected at random.

Joann
Painted Babies Originals
VA "

another
(http://groups.google.com/group/misc.taxes.moderated/browse_thread/thread/436371993432f2a5/6751d6ce9ed4aff1?lnk=st&q=irs+audit+comingling+business+personal+audit&rnum=2#6751d6ce9ed4aff1)
reads :

"Be reasonable, if you were auditing somebody and you observed that they
were comingling pleasure and business with such games wouldn't you want to
keep on digging deeper? "

Kris in
http://groups.google.com/group/alt.marketing.online.ebay/browse_thread/thread/34c656686d3f0027/c693c5dbe524a9d0?lnk=st&q=irs+comingling+business+personal+audit&rnum=3#c693c5dbe524a9d0
writes: "Yes, I know....but I know several people who've had IRS audits, and
the co-mingling of funds made it difficult to prove income sources, as well
as prove to the IRS that some expenses were purely business-related. One
relative had an audit that went on for over a year. Ugly as hell. Kris "

So, although technically true from a legal point of view as long as you keep
good records you're legally ok, I still argue why risk it? If I was being
audited for suspected reasons, I wouldn't want to be in that position!

So, again, YMMV.

--
-------------------------------------------------------------
Regards -

- Andrew"

Posted by John Pollard on May 30, 2007, 1:26 pm

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aj wrote:

> Is it just me, or is this software 100% geared towards

> business, and 0% geared towards home?

It's just you. Quicken Home & Business versions contain all of
the same capabilities, utilized in the same way, that the non
Home & Business versions of Quicken contain. The "Business"
part of H&B is just an add on to the "Home" part.

< Snip >

> How do people partition their home expenses from business

> expenses?

I suspect that the simplest and most straight forward way is to
create one Quicken file for the business activities and another
Quicken file for the personal activities.

--
John Pollard
First initial underscore Last name at mchsi dot com
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