Small Business Tax Deductions – Part Two

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Small Business Tax Deductions Part Two
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• As discussed in part one of this piece, there is
  a vast and confusingly diverse array of tax
  deductions that small businesses may be entitled
  to, and discovering the ones that you might be
  able to take advantage of, can be extremely time
  consuming and confusing.
• This list of deductions is designed to help you
  understand which ones you might be entitled to,
  but of course, you should always check with a tax
  professional if youre unsure about any of them

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• Employee benefits
• If you keep track of all the contributions you
  make towards your employees health plans, life
  insurance and education reimbursement programs to
  name but a few, you may find out that most (if
  not all) of them are tax deductible.
• Business software
• Instead of depreciating the cost of business
  software as was previously the case, you can now
  deduct it as part of your small business
  deductions. This even includes your POS software
  and any other software that you use to help run
  your company.

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• Rent
• If you pay rent for your business premises, be
  sure to include it in your list of deductions.
  The cost of starting your business
• Its possible that you may be able to deduct up
  to 5,000 in start-up costs and expenses that you
  might have racked up when you first opened your
  doors for business. Included are marketing and
  advertising costs, travel and employee training.

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• Utilities
• Any electricity that you use for your business,
  or mobile phone bills may be deductible, but if
  you use the home office deduction, check that
  your landline is dedicated to your business
  before youre able to deduct it.
• Travel expenses
• If youre travelling to a trade show, for
  example, you can take a small business deduction
  for every related expense, from airfares and
  hotels to meals on the road and auto expenses.

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• Taxes
• While this is not always straightforward, its
  worth talking to a tax expert about deducting
  licenses and fees, taxes on real estate and sales
  tax to name but a few.
• Commissions
• Many companies employ salespeople who work on a
  commission basis, and these payments are tax
  deductible. You may also be able to take a small
  business tax deduction for third-party
  commissions, such as those whom you may pay as
  part of an affiliate marketing set-up.

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• Renting equipment and machinery
• Renting equipment or machinery may be of benefit
  to your business if you can deduct them as
  expenses during the year they occur in, with no
  depreciation.
• Interest on loans
• Personal loans that are funnelled into your
  business may be tricky to process as part of a
  deduction, but if you take out a business line of
  credit, then the interest that you pay on it is
  entirely tax deductible.

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• Bad business debts
• If you have ever given an employee or vendor an
  advance on their money, only to not receive
  repayment or the goods or service that you
  thought youd been contracted for, you may be
  able to treat this debt as a small business
  deduction.
• For the entire list of deductible items for small
  businesses, speak to a trusted, local tax
  professional about what may or may not apply to
  you and your businesses circumstances. This list
  is certainly not exhaustive, and while it may
  take a little effort to go through them all, it
  could prove beneficial in the long term.

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• At Heyer Associates, we proactively assist our
  individual and small business clients in meeting
  their goals. Our key area of focus is ensuring
  that our clients remain compliant with federal
  and state tax laws by providing them with high
  quality accounting and tax services Miami Beach.
  If you are looking for individual tax preparation
  in Miami Gardens, Heyer Associates would be a
  right option.