There are quite a few perks to owning your own business – like being your boss and flexible work hours. But did you know that there are some benefits when it comes to taxes too? If owning your own business is a new venture for you, taxes can be intimidating, but cheer up as you do your taxes (or hire a pro to do those) as you recall these tax benefits.
5 Tax Benefits of Owning Your Own Small Business
Home Office Upgrades
When you’re running your own small business, you may be working at your own house before having a separate office. Not only is making a dedicated office space better for your focus, but you can deduct the costs of renovation, paint, or office supplies in your taxes. When you claim home office space on your small business taxes, you are also able to deduct fractions of utility bills and mortgage interest on your tax return.
Depending on your business, you’ll need a variety of insurance policies. The good news is that no matter what insurance you have, it is tax deductible. Anything from liability insurance to workers’ compensation is deductible. For small business owners, family and individual health insurance plans are also tax deductible. Another item to list on your tax return that many people forget is a security system, computer or home security system, if it can be used to protect business assets or important business documents.
Keep track of the mileage you put on your vehicle to run your business. Any time you are using your car for the business, log the miles. You’re able to list this a business deduction on your small business tax return.
If you have to do any traveling out of town for your business, these costs are also tax deductible. From airfare to car rentals and hotel costs, you should keep track of all of these expenses so you can list them on your tax return.
Education & Training
Running your own small business may mean that you need to take continuing education classes, courses, or tests. All of these costs and testing fees are tax deductible. This is a great opportunity to learn a new skill or expand your certifications to better your business.
Get Your Own Business Off the Ground & Earning Money
All of these small business tax deductions add up! Be sure to stay organized and keep track of all receipts and logs so you are less stressed when it’s time to file your small business taxes. If you’re looking to add to your business portfolio or finally start your own small business, contact Naturals2Go for a great opportunity.