Business Taxes: What Can You Claim? What Can’t You Claim?

A lot of small business owners may not have an accounting background, and trying to remember what items can and cannot be claimed can be very tricky.  So, the writers at Oasis Consulting Group have come up with a simple starter list of what a small business owner can and cannot claim on their taxes.

Please note, while the writers at Oasis Consulting Group do have some accounting experience and background, they are not accountants.  We recommend all small business owners to consult an actual accountant when it comes time to file their taxes.

Deductible Business Expenses

Fully Deductible

  • Accounting Fees
  • Advertising
  • Bank Charges
  • Commissions and sales expenses
  • Consultation Expenses
  • Continuing Professional Education
  • Contract Labor
  • Credit and Collection Fees
  • Delivery Charges
  • Dues and Subscriptions
  • Employee Benefit Programs
  • Equipment Rentals
  • Factory Expenses
  • Insurance
  • Interest Paid
  • Internet Subscriptions, domain names, and hosting
  • Laundry
  • Legal Fees
  • Licenses
  • Maintenance and Repairs
  • Office Expenses and Supplies
  • Pension and Profit sharing supplies
  • Postage
  • Print and copy
  • Professional development and training
  • Professional fees
  • Promotion
  • Rent
  • Salaries, wages, and other compensation
  • Security
  • Small tools and equipment
  • Software
  • Supplies
  • Taxes
  • Telephone
  • Trade Discounts
  • Travel
  • Utilities

Partial Deductible

  • Gifts: are deductible up to $25 per person.  Gift items cost $4 or less is fully deductible.
  • Automobile and Transportation Expenses: must be split between personal use (non-deductible) and business use (deductible)
  • Home Office: must be split between personal use (non-deductible) and business use (deductible)
  • Meals and Entertainment: Only 50% is deductible
  • Non-Deductible
  • Bribes and kickbacks
  • Contributions to political parties or candidates
  • Dues and membership fees for social clubs
  • Lobbying Expenses
  • Penalties and Fines

Is there anything else we missed?  Leave your thoughts in the comments section.

Like this post?  Want to see more? Have any tips or ideas for upcoming posts?  Well if so, then you can contact Elizabeth-Jamey  below.

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