Small business tax deductions: a checklist to keep all year.
A deduction is an ordinary, necessary expense of running your business. The list below covers the ones that come up most for owner-run businesses — and what makes them count.
The common ones
- Home office. A space in your home used regularly and exclusively for the business.
- Vehicle and mileage. Business driving counts — if you keep a mileage log. The log is what makes it real.
- Supplies and materials. What you use up doing the work — from cleaning products to lumber to packaging.
- Phone and internet. The business portion of the bill, not the whole thing.
- Software and subscriptions. QuickBooks, scheduling apps, design tools — the systems that run the business.
- Business insurance. Liability and similar coverage for the work you do.
- Subcontractors you pay. Contract labor is deductible — and comes with 1099-NEC forms to file at year-end.
- Advertising and your website. From business cards to the site itself.
- Professional services. Bookkeeping, tax preparation, legal help.
- Education and licenses. Courses, certifications, and license renewals for your trade.
- Bank and processing fees. Account fees and the cut card processors take.
What makes a deduction hold up
Two things: the expense is genuinely for the business, and you can show it. Receipts, statements, and a mileage log are the proof. Only the business-use portion counts when something is mixed, like a phone or a vehicle. And when your income and expenses live in clean books all year, deductions stop being an April scramble — they're already sitting there, organized, when it's time to file.
Whether a specific expense is deductible depends on your situation — bring it up and we'll look at it together.
General information, not personalized tax or legal advice. Every situation is different — talk to us about yours.