Re: [AlpacaTalk] Re: [Alpaca meat
I totally understand your point, Richard. I think that as a side business
for a small breeder alpacas are still a good investment but I am well aware
that many of the larger ranches are having problems. The fiber male/gelding
problem is something that needs to be resolved soon. I think the increasing
number of mills in the US is a start to a good resolution. I love the little
critters and would have some as pets whether or not they produce anything -
maybe the pet industry is a market we need to approach.
SUSAN OLSON
Alpaca Loco
Riverside, CA
In a message dated 11/7/2008 10:57:18 A.M. Pacific Standard Time,
humhojl120@hotmail.
--- In _AlpacaTalk@
LunarStruck@
>
> Honestly, we very legally wrote off the entire purchase price of
our starter
> females - and we don't ever plan on selling them, so it really was
a great
> deal for us. If anyone needs the write-off, alpacas still are a
great
> investment. What other investment returns that type of percentage
(from the
> offspring)?
>
> SUSAN OLSON
> Alpaca Loco
> Riverside, CA
Yes of course it is possible to legally write-off the entire purchase
price, but that is not the same as paying nothing for starter
females, because no-one pay 100% tax.
If you never plan to sell them, then of course their value will
reduce to NIL eventually, so you are entitled to write that total
expenditure down against tax. It isn't really some favoured deal,
just a recognition of a depreciating asset that has cost you so many
$000s. You can take the depreciation write-off all in one go (first
year) or choose to depreciate over a number of years.
Whether alpacas are a great investment is another issue - to me, it
seems the days of high prices are over (a combination of the national
herd increasing, the lack of a viable end product, and now the
recession), so that breeders (some posting on this site) are finding
sales a struggle. It's not a great investment if you get stuck with
unwanted fiber males or have to seriously lower prices for breeding
females.
Sorry to be a pain !
Richard
Maidstone Kent UK
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posted by Chaddo at 7:37 PM
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