Business Tax Breaks For At Home & Small Business
There are many deductions available for at home businesses and small businesses. It is very important to keep accurate records of all of your business expenses. This will make tax time much easier and may allow for a larger return of many often overlooked deductions.
There is some good news for business owners looking for more tax breaks this year. Due to the current state of the economy, the government has extended many tax breaks to business owners to try and stimulate the economy.
Here is a quick list of possible home and small business tax breaks:
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Office Supplies
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Office Furniture
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Software Purchases
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Mileage Reimbursement (50.5 cents per mile)
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Vehicle Expense
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Travel & Meals
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Insurance Premiums
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Telephone & Internet
If you currently maintain a home office then you can even deduct the amount of space used in your home to operate that office. You can deduct a percentage of your rent or mortgage as well as utilities for that space.
Home Based Business Tax Breaks
Tips to Remember
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You can either deduct your total mileage or your vehicle operating expenses.
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100% of travel expenses are deductible except for meals. Only a 50% deduction is allowed for meals while traveling
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You can take a 100% deduction all at once for office furniture or take a deduction on the depreciation for up to five years.
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You should have a second phone line installed to deduct a 100% of business related telephone expenses.
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Magazine subscriptions are deductible as long as they are related to your industry.
New Tax Breaks for Business Owners
We suggest using online tax preparation software such as TurboTax to help you get the most business related deductions possible. Using online software can help you avoid making costly errors when filing your business return and lower the chance of a possible audit.
Visit TurboTax Online to take advantage of their biggest refund guarantee. TurboTax Online offers business owners step by step instructions when filing your return.
