It’s tax time! That means you’re looking at the various tax deductions you can make. At least, when you’re running a WAHM business, you should be doing. I do highly recommend getting an accountant for your business, but you may not be able to afford one yet. Plus, even with an accountant, you’ll need to think about the items you can deduct from your tax, all this is very important specially if you are starting a medical device startup.
You’ll know about your home office costs. You will consider your rent/mortgage, your internet bills, your electricity, and other standard costs like that. However, it’s easy to overlook some important deductions for running your business. Here are five that I’ve overlooked in the past and now make sure I stay on top of.
Your furniture for your business
You’ll need to remember about your furniture that you’ve needed for your business. Your computer, your desk, and even the shelves you got to manage your books and documents. They will all quickly add up.
However, these won’t be 100% tax deductions. There’s a depreciation costs for a lot of items. You’ll need to run this by your accountant or double check with the official IRS site. I know when I did my Canadian taxes myself, I’d put the furniture costs in a specific section on the form and a percentage would be taken off.
There are some items you’ll buy that are only designed to last a year. These items can be claimed 100% as a business expense. This is where it can get tricky.
Any annual license fees/business subscriptions
Look out for any fees you spend on licenses or subscriptions. If they’re purely for your WAHM business, they do become tax deductions. You can even include any tax software or accounting software you may use to keep your business in check.
You may need a license to do your business. Soda PDF says it is most definitely 100% of your business cost. If you have a subscription that is half business and half personal (I have Netflix and Amazon Prime that I use for both) then you’ll only be able to deduct the percentage you use for the business.
Your website running costs
You know your website is for business, but how often do you forget about the costs of it? This is something that I overlooked one year. Yes, really! I have a specific credit card that my hosting fees go on and I forgot that it was the year the money went out (I pay every three years for my hosting). So, don’t do a me!
There are other website running costs you need to think about, though. What about your domain name? What about anyone you hire to help manage the website? Did you buy a theme to test out on your site? Even if you no longer use the theme, that purchase is a business one. Anything you spend on your website for your business will be tax deductions.
You may also want to learn about the noa singapore – CFO ACCOUNTS & SERVICES. The income tax NOA is an invoice of sorts in Singapore. Once the IRAS analyzes your filed income particulars, it generates a corresponding tax bill that provides all the tax settlement details – such as the amount due and the deadline dates.
MORE: How much money do you need to make in your WAHM business?
Those PayPal fees are tax deductions
This is one of those deductions that many people overlook. Please, don’t! You don’t have to just swallow your PayPal fees and not claim them. It’s not your fault PayPal is the way you’re paid or that you are hit with charges.
Don’t use PayPal? Other methods of payment will likely have some sort of fee involved. You can claim the fees back.
Travel and meals for business needs
This is something that is very easy to overlook. One year, I went to NYCC and never kept any of my receipts. In the moment, I just completely forgot about claiming things! The second time I went, I made sure I had all those receipts. Now, I have an envelope that goes with me everywhere when I’m traveling for business and all receipts are put in it. You can only claim 50% of your food costs, but it’s better than nothing, right?
You can also claim your travel costs. Make sure you keep a note of your Uber costs, your flight payments, and more. You’ll be surprised by how quickly these business costs can quickly add up.
Are you ready to make your tax deductions for your WAHM business? Do get an accountant, but keep in mind the above costs that can often be overlooked and forgotten about.
