Small business Tax deductible

What Small Businesses Should Track as Deductibles Now

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Tax season. Ugh. Those two little words can strike fear into the hearts of even the most organized small business owners. But hey, here at Integrity Accounting, we believe knowledge is power, and with a little proactive planning, you can make tax time a breeze (well, almost!).

One key to a smooth tax filing experience is keeping meticulous records of your business expenses. The more you document throughout the year, the less scrambling you’ll do come April. So, what exactly should you be tracking? Let’s break it down

The Balance Sheet: A Snapshot in Time

  • Startup Costs:Did you invest in equipment, software, or marketing materials when you first launched? These initial expenses can often be deducted in the year they’re incurred.
  • Operational Costs:Rent, utilities, internet, phone bills – all the day-to-day expenses that keep your business running are fair game for deductions.
  • Office Supplies:Printer cartridges, sticky notes, that fancy ergonomic chair – they all add up! Keep receipts for these essential office supplies.

Beyond the Basics:

  • Mileage:Do you use your personal vehicle for business errands? Track the mileage to potentially deduct gas and wear-and-tear costs.
  • Home Office: Working from home? You might qualify for a home office deduction, but specific rules apply. Talk to your Integrity Accounting professional for guidance.
  • Professional Fees:Did you hire an accountant (like us!), lawyer, or marketing consultant? The fees associated with running your business are often deductible.
  • Marketing & Advertising: Those social media ads, website subscriptions, and business card printing – they can all be tax-deductible marketing expenses.
 
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Keep it Organized:

  • Digital Receipts:There are plenty of apps and software solutions that allow you to scan and store receipts electronically.
  • Categorize Expenses:Having a clear system for categorizing your expenses (rent, office supplies, marketing, etc.) will make life easier come tax time.
  • Separate Accounts:Dedicate a business bank account and credit card to track your business expenses.

Remember, It’s All About Documentation!

The golden rule of tax deductions? If it’s a legitimate business expense, document it!  The more meticulous you are about tracking your expenses throughout the year, the less stressful tax season will be.

Don’t Go It Alone!

Tax laws can be tricky, and keeping up with the latest changes can be a full-time job in itself. That’s where Integrity Accounting comes in! Our team of experienced professionals can help you navigate the complexities of tax deductions and ensure you’re maximizing your benefits.

Contact Integrity Accounting today! We’ll help you develop a tax strategy that saves you money and keeps you stress-free all year round. Schedule a consultation and let’s discuss how we can make your next tax season a breeze!

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