Being strategic about tax planning is a central way to grow wealth as a small business owner and tax season is right around the corner. Here are a few write-offs every business owner should know about and, if possible, take advantage of.

Cell Phone Bills

Just because you field calls for your business on your personal phone does not mean you can’t write off the expense of paying your bill each month. The IRS allows business owners to deduct the cost of a cell phone bill by percent, so if 75% of the calls you receive on your cell phone are business-related, you can deduct 75% of your monthly bill come tax time.

Automobile Expenses

You probably already know you can deduct gas expenses when you drive for business-related reasons, but did you know that you can also deduct things like maintenance, registration, tolls and parking fees? If you travel a lot for business, keep track of expenses as they crop up. If you rely on your vehicle for your business, you can deduct the money that you spend to drive and maintain your car!

Home Office Costs

If you work out of your home, you may qualify to deduct home office expenses in much the same way that people who operate stand-alone businesses can deduct those office expenses. So, if you have a room in your house that is exclusively used as an office, and that office is your primary place of business, you may be able to deduct a portion of the expense associated with your home.

Does your small business need a financial boost this tax season? One of the many benefits AFEUSA membership includes is discounts on services like Answer Financial.

 

Article by
Wayne Goshkarian,
Senior Advisor

Wayne Goshkarian in front of his jet