Basic Tax Deductions For Online Businesses

Here are some things to think about.

As always, it is best to use a qualified tax advisor to review your particular situation. But to get you started, here are things that you should gather information about and keep records on.

Computer – If you bought a computer, monitors, computer desk(s,) chair(s,) printers and anthing to support it, keep all the records.

Internet fees – If you work at home, your internet usage is shared between business and home. Calculate how much you use it for business.

Ebooks, scripts, software – All are necessary and legitimate business expenses.

Hosting & Domain Registration – Definitely necessary if you want to succeed in business.

Seminars – If you went to any Internet Marketing seminars, expenses related to them are tax deductible.

Video cameras and other devices – If you did any video and needed a video camera, webcam, digital camera etc. that’s also a business expense that should be claimed.

Outsourcing – No matter what it is you’re outsourcing (writing, coding, general work) if it relates to your business it’s a tax deduction.

Business Use of Home – There’s a formula used and your tax professional should do it, as mine does for me, but it’s a big deduction.

And here are some more.

Advertising

Telephone

Trade Shows

Travel

Office Supplies

Marketing Costs

PayPal And Credit Card Fees

Basically, anything that you spent money on, which was used in your business during the year should be deducted.

DON’T be afraid to give your tax professional too much. What is not legitimate will not be used. But if you don’t claim try, that’s money that you’re just throwing away… just giving to the Government.