Tax Resources
 

Tax Deductible Expenses

As previously mentioned, business expenses can either be tax deductible expenses fully or depreciated expenses. Knowing what tax deductible expenses are can save you a lot of money in tax bills. The IRS has allowed many tax deductible expenses for small business owners.

Below is a short list of tax deductible expenses. You need to be familiar with these tax deductible expenses to claim the appropriate tax deductions that you are entitled to.

Tax deductible expenses
  • Advertising - such as in yellow pages, newspaper, radio, direct mail
  • Bad debts - for sales and services
  • Bank charges - such as for checks
  • Books and Periodicals - business related
  • Car and Truck expenses - gas, repair, license, insurance, maintenance
  • Commissions - to sales reps
  • Contract services - independent
  • Convention expenses
  • Display and exhibit expenses
  • Donations
  • Dues - professional
  • Educational fees and materials
  • Electric bills
  • Entertainment of clients
  • Freight - such as UPS, FedEx, Postal
  • Gas bills
  • Improvements - under $100
  • Insurance - business related
  • Interest paid out
  • Laundry and cleaning - such as uniforms
  • Legal and professional fees
  • License fees - business license
  • Maintenance - material and labor
  • Office equipment - under $100
  • Office furniture - under $100
  • Office supplies
  • Parking fees
  • Pension and profit sharing plans
  • Postage
  • Print expenses
  • Professional services
  • Promotional materials
  • Property tax
  • Publications
  • Rent
  • Repairs
  • Refunds, returns and allowances
  • Sales tax - sales tax collected is offset by reimbursement to the State Board of Equalization
  • Sales tax aid - purchases
  • Subscriptions
  • Telephone
  • Tools - used in trade and with a purchase price under $100
  • Uniforms purchased
  • Utilities
  • Wages paid out 

Tax Questions