Re: Beekeeping and taxes
I agree with sqkcrk. Don't look it as starting a new business, rather and expansion of your ongoing agriculture business. Not sure about the fence, but everything else I would write off as current year expense, not as a capital asset. I haven't followed recent tax law changes closely, but I think the Section 179 deduction now allows up to (and maybe over) $500,000 in current year investment in new or used equipment to be expensed in the year of aquisition. Sec 179 has been around a long time. I remember when the limit was $5,000. It's been expanded to encourage new investment in our current economic mess. Beyond all that, the reality is that the IRS has been cut back like all of government and your chance of getting audited is almost nill unless you claim something outrageous or don't report accurately something their computers can verify from an independant source like W2 wages or mortagage interest. Whatever you do, don't under-report income. They still put people in jail for that. You'll just pay interest and penalties for disagreements about allowable expenses.
"everyone is entitled to his own opinion, but not his own facts," Daniel Patrick Moynihan