Sounds like a fun idea but i'm sure reality will be a bit different, especially in this social and economic climate. Good luck.
(Topic ID: 276392)
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Quoted from JustEverett:Just keep in mind that as an operator of pinball machines (not a distributor), the games would be depreciated over 5 years under the IRC. Yes, with current bonus depreciation rules you would "write off" the entire purchase in the first year. But what everyone forgets about is recapture. If you turn around and sell that pin the next year, you have to recapture the depreciation in the form of income. So yes, the initial year would likely be a significant write off, but in future years I would anticipate new pin purchases and the recapture from the sale of old games would essentially be a wash.
It would be tough to recapture anything on a cash deal for an item that isn't registered or titled in anyway that the govt can track.
Quoted from JustEverett:Well the OP is talking about running a business, not committing tax fraud. Just keep in mind that the statute of limitations for an audit when you commit tax fraud is non-existent. So maybe the best advice isn't to tell someone to pay cash and not report it.
That wasn't advice to the OP. I was merely pointing out the fact that things like that aren't tracked. And if you truly believe that cash businesses actually report all of their income, I have a bridge I could sell you. Cash deal of course. 
Quoted from JustEverett:I do plenty of work for cash heavy businesses. I'm sure that they don't report everything, but that's their decision. Plus to the original point of my post, how is someone going to "write off" an asset if they never report it? Your post is non-sequitur and pointless.
Congratulations, it sounds very exciting!
And Of course you would write off the initial purchase. When did I ever say otherwise? I was referring to the sale of said game after it's "retired". I wasn't looking to get into an accounting/tax debate with you. I get it, you're an accountant. 
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