Are you involved in a network marketing program? Some network marketing companies include: Amway, Mary Kay, Passion Parties, Pampered Chef, Avon, etc.
Here’s a list of just SOME of the business expenses you can claim on your taxes. This list comes from my CPA who is also a certified fraud examiner:
THINGS TO CONSIDER WHEN STARTING A SOLE PROPRIETORSHIP
Select a name for your business
Open a checking account under your name DBA the business name
Deposit all income into the business checking account
Write checks for as many of your business expenses as possible and save all receipts
If you pay cash for expenses, get a receipt from the seller. If hand written, be sure it has the date, the seller’s name and what you purchased
Write down your vehicle mileage when you start your business and again on December 31 of each year. You will be able to deduct a % of your total mileage without gas receipts and a % of your car loan interest
If you entertain clients, get a receipt and write the name of the person at the event as well as a short description of what business was transacted
You can give business gifts to your clients or potential clients with a value of $25 or less per client per year
You are allowed to deduct/depreciate office furnishings, equipment and supplies
You can deduct magazine subscriptions, books and membership dues that relate to your line of business
You can deduct bank service charges and check printing charges
You can deduct rent and utilities for your business and/or storage
You can deduct accountants consulting fees and attorneys fees
You can NOT make donations to charitable organizations and deduct them as a business expense unless they are advertising, ie, You pay for an ad in a school yearbook.
You can deduct floral arrangements that you use in your office as well as other decorations
You can provide coffee, etc to your clients and deduct the cost
If possible, use separate credit cards for business and personal purchases
Long distance phone calls are deductible, but in order to deduct the base rate, you must have two lines into your home.
Cellular phones and the calls are deductible
Internet provider charges are deductible.
(This list is not all inclusive. There are numerous other tax deductions available.)
DIANA PAYNE, CPA, MBA, CFE
If this post was helpful please comment or share! Thank you!