There might be a lot of small business tax deductions 2019 guides over the Internet, but all of them state the same thing over and over. However, in this article, we’ll talk about the things you are most likely missing when it comes to tax deductions and your small business.
- Have you ever asked yourself where that printer paper came from? What about the bunch of pens you brought from home? Is that the stapler your brought from home by accident or is this the work stapler? Trust us, all of this matters and the best thing you can do is make a list, gather your accountant team and say “Here, work your magic.”
- Are you doing a lot of work from home? You should measure the square footage of home space used exclusively for business. This is not just your casual work-from-home business. If you have a computer at home that is dedicated solely to work purposes because you can’t have the kids downloading viruses where you store work stuff.
- Meals count as well and you probably know that. However, you probably do 50% for meals with vendors, subcontractors, etc. But did you actually know that if you provide 100% food supplies for your employees, it may be 100% deductible? Yes, that’s right – 100, and not 50. Be reasonable though, keep actual track because nothing says “Hi IRS, please, audit me!” like hundreds of meal deductions at the end of the year.
- Your car doesn’t necessarily have to be a “business car” to deduct a portion of its use. Once again, keeping track is the key. You can either do the cents/mile method or probably smarter in most cases, the percentage method. If you are only counting the cents per mile and not the percentage of vehicle used, you will miss costs like maintenance, repair, smog check, new tires, insurance, etc.
Everything is easier when tracked properly, and this applies to small business tax deductions in 2019 more than ever.
