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Whether you're filing taxes for yourself or a business, we'll help you make the April 15 deadline.
You Will Need
- Schedule C
- Home office
- Depreciating assets
- Easily missed deductions
- Charitable contributions
- Professionals' fees
- Tax advice
- Purchase receipts (optional)
- Records of business-related expenses (optional)
Look at Schedule C
Keep a copy of the IRS Schedule C form and its instructions handy so you can consult it as needed. If there's a place to report an expense on the Schedule C, it's probably deductible.
Designate home office space
Keep your home office separate from your personal living space if you run your business exclusively from home. You can take a deduction for the square footage of your home that is dedicated to business operations.
Deduct the business portion of shared costs
Keep track of expenses shared between your business and personal life, such as gasoline and utilities. As long as you record the portion for business use, you can deduct those expenses.
Deduct some business food and travel
Keep in mind that you can deduct reasonable costs for entertaining business clients, including small gifts, and doing business travel. In most cases this includes the cost of your transportation and meals.
Learn when to annually depreciate the value of assets, such as company cars, instead of taking a one-time deduction. This rule often applies to expensive equipment that you expect to use over multiple years.
Find easily missed deductions
Find easily missed deductions, such as advertising expenses, education to improve your job skills, relocating expenses, supplies, postage, and banking fees.
Give money or items to charity and deduct the non-depreciated portion of the donation through your corporation's taxes. You can make the deduction on your personal taxes if your business is an S corporation, partnership, or LLC.
Deduct professionals' fees
Deduct the cost of most common fees you have to pay to professionals for help with running your business, such as lawyers and consultants.
Get tax advice
Seek advice from a tax professional when your taxes get complicated or if you are unsure about a particular expense. Now you have one more incentive to use their services -- knowing that you can take another deduction for it.