Ours are fairly simple really --at least the way I do them.
We runa cash in -- cash out basis. As I write cjhecks to pay the bills -- I cirle the ones in the check book that were business related -- ie -- Feed, Drugs, Lab supplies, Farm supplies, fuel for the business truck and so one. All personal stuff is not circled during the year like Wallmart grocery etc.
At the end of the year -- I go thru and add up the different categories to get the gross income, minus the gross expenses -- to achieve the SMALL net. After that -- the tax pady says OK -- you have these auto deuctions for depreciation -- and personal (Kids and us) .
Haven't had to pay IN for 30 years after itis all said and done, other than the self employement tax and medicare taken off the -- usually get something back at the end every year -- been geting smaller and amaller though every year -- kids are all but gone now, only one left to claim.
Time to start buying more cows to write off I guess, there goes the feed bill!! hehehe
Oh well, the Government will find a new way to take the rest we make as always, kind of like getting up the 1st of April and seeing how they secvretly added 70 some cents a pack to those who smoke. That is one more thing we will quit doing this year -- besides enjoying our FREEDOM ??
Terry