How much should you pay yourself in an S Corp? The IRS says it must be ""reasonable"" The goal is to save on self-employment taxes, but don’t push it too far. Get more S Corp tips-Get my FREE S Corp Cheat Sheet here: notyourdadscpa...
What it usually comes down to is how the shed is used and if it is fixed or not. Is it portable or able to be reasonably moved? Or is it bolted down on a foundation, with utilities, etc. If it's the latter, the IRS considers it to be more of a building structure that you have to depreciate over 39 years! Otherwise you may be able to depreciate it over 5-7 years. If it cost less than $2500, you may be able to just deduct it immediately. As you can see it depends on various factors :)
