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Plumbing

Plumbing: the tax questions worth asking early

Emergency calls, parts markup, and warranty work all move money in ways that are easy to lose track of.

Decisions that change the picture

  • Buying a service van or camera and locating equipment.
  • Adding after-hours dispatch or a call service.
  • Deciding whether to carry parts inventory or bill at cost plus.

Records worth keeping as you go

  • Parts purchases tied to specific jobs.
  • Warranty and callback work logged separately from billable work.
  • Vehicle mileage or actual-cost records, kept consistently all year.

Questions to bring to your tax pro

  • Which vehicle method fits my driving pattern better?
  • How should warranty and callback work show up in my numbers?
  • What is a realistic reserve percentage for a year like this one?
This guide is general information, not tax advice. Your tax professional decides what applies to your business and your filing.
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