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Guy, I don't know who taught you how business finances are run, but you need to get your money back. What I've learned being a small business owner is that when I put money back into my business, I don't use that money to buy a house - I use that money to buy equipment for my business. Because it is used for the business and not for my personal use, it is deducted from my taxable income from that business.
Not true. Equipment goes on a depreciation schedule. It is not deducted from your taxable income. You can take a deduction of (1/number of years of the depreciation schedule) as an expense for the first year and each succeeding year until the schedule is amortized. When the depreciation is fully amortized you will have deducted the full value of the equipment. But I can assure you that you were taxed all the way through for the unamortized amount of the original purchase cost each year. Have a chat with your accountant. He or she will explain it to you.