Tax Deductions You’re Probably Missing in Your Business
Let’s be honest - taxes are nobody’s favorite part of running a business. And if you’re a freelancer, consultant, or small business owner, there’s a good chance you’re leaving money on the table by not knowing what you can actually deduct.
That’s where these business finance tax deduction tips come in.
These aren’t the obvious ones (like office supplies or your accountant’s fee) - these are the sneaky, often-overlooked deductions that could save you thousands.
Let’s dive in.
💡 1. Home Office Deduction
Yep, your home workspace could be a goldmine for deductions. If you:
✅ Use part of your home exclusively for business
✅ And it’s your primary place of business
You can deduct a portion of:
Rent or mortgage interest
Utilities
Internet
Repairs
Pro tip: Use the simplified method if math isn’t your thing (it’s $5 per square foot, up to 300 square feet).
💡 2. Business Use of Your Car
If you use your car for business, even a little - you can deduct:
🚗 Mileage (65.5 cents per mile for 2023!)
🚗 Tolls and parking fees
🚗 Lease payments or depreciation (for owned vehicles)
But here’s the catch: You must track your miles - apps like MileIQ or QuickBooks Self-Employed make it easy.
💡 3. Professional Development
That course you took on marketing? The business finance workshop you attended? The industry conference in Vegas (yes, even that)?
✅ All tax-deductible.
You can write off:
Registration fees
Travel (flights, hotels, meals while traveling)
Educational books and materials
Investing in yourself = tax savings.
💡 4. Software & Subscriptions
Those monthly fees add up, but they’re deductible! Think:
💻 Canva
💻 QuickBooks
💻 Zoom
💻 Cloud storage (Google Drive, Dropbox)
💻 Scheduling tools (Calendly, Dubsado)
If you use it for your business, it’s a deduction.
💡 5. Health Insurance (for Self-Employed)
If you’re a solo business owner paying for your own health insurance, guess what?
✅ You can deduct 100% of your premiums (for yourself, your spouse, and dependents).
This is a biggie, don’t skip it!
💡 6. Retirement Contributions
Saving for your future can also save you money now.
Contributions to:
A Solo 401(k)
A SEP IRA
A SIMPLE IRA
are tax-deductible up to certain limits.
Plan ahead = less tax stress later.
💡 7. Phone & Internet
If you use your phone or internet for business (which, let’s be honest, who doesn’t?), you can deduct a portion of the bill.
Just make sure to:
✅ Keep records of usage
✅ Allocate a reasonable percentage (e.g., 50% if you split use with personal)
Final Thoughts
These business finance tax deduction tips can save you real money - but only if you use them!
Start small:
✅ Review your expenses
✅ Categorize what’s business vs. personal
✅ Track consistently
And when in doubt? Ask your accountant.
